A proxy for the size of the shadow banking sector can then be calculated by adding money market funds to the sector “non-monetary financial intermediaries other than insurance corporations and pension funds”, and by subtracting other investment funds. See the article “Enhancing the Monitoring of Shadow Banking”. ECB Monthly Bulletin, February 2013. 26  A similar point is made by Brunnermeier et al (2011).
27  An alternative statistical approach addresses this concern by providing a measure of shadow banking that encompasses all non-core liabilities of both banks and non-bank financial institutions (see e.g. Harutyunyan et al., 2015). 12  BIS central bankers’ speeches  5. Conclusions  Let me conclude. Macro-prudential policies are key to cope with systemic risk and endogenous cycles in the financial sector.