Precisely because of the novelty of this exercise, questions were raised in the GHOS as to how the definition and calibration of the new ratios aligned with actual experience in the crisis, and whether the ratios might result in some adverse unintended consequences on financial markets.
Consequently, the GHOS agreed to delay implementation of both standards and provide for what were termed “observation periods,” during which further analysis will be done and changes very likely made. Here, though, it is important to draw a distinction between the two standards.