With hindsight it would have been great to have built in more insulation by providing for even tougher haircuts; but at the time it would have seemed an arbitrary and hard to justify exercise of regulatory powers.
This year, we are determined to present a stress test that will not only be more convincing to the market, by providing much more granular detail, but also be better insulated against surprises by using aggressive stress assumptions and modelling. The emphasis is clearly on determining appropriate capital levels to meet stresses.