But the time for individual bank models is not now, and I see no reason to hold up improving the regulatory capital regime until the state of the art permits that innovation. Until then, I think we have developed a workable balance between flexibility and comparability. As the old saying goes, the perfect should not be the enemy of the good.
Level Playing Fields: Treating Comparable Banks Comparably Basel II, as I noted, tries to develop a standard so that banks’ risk exposures can be treated comparably. Such a standard is central to the required level playing field.