At the same time, I would like to stress that the supervisor’s view on a bank’s capital level cannot and should not relieve the bank and its management from its responsibility to ensure an adequate capital level. Returning to my car analogy, I am convinced that both active and passive safety features are equally crucial to keep cars and their passengers save.
The same is true for banks and the role of quantitative and qualitative supervision. Banking supervision in the 21st century combines both approaches to keep banks on track and out of harm’s way. Thank you for your attention. 4  BIS central bankers’ speeches