Moreover, dividend policies could be adversely affected for several institutions. In addition, those LCBGs that rely on funding from non-deposit sources, and those that are particularly active in the securitisation businesses, could see their revenues decline significantly.
Reflecting these  6  BIS Review 148/2007  concerns, forward-looking financial market indicators, such as banks’ CDS spreads and share prices, currently suggest that challenges pertaining to the banking sector are likely to remain in the near future (see the chart on the right of slide 12).