To ensure financial stability, we have to apply a wide range of measures. We have to adjust capital requirements, we have to implement liquidity requirements, we have to make banks resolvable to name just a few. 4  BIS central bankers’ speeches  Breaking up the banks might shield commercial banking and thereby the real economy to a certain degree.
But it cannot, on its own, ensure financial stability. And when it comes to implementing a system of segregated banking functions, attempts to cut the Gordian Knot might mutate into a tedious exercise of splitting hairs. Thank you very much. BIS central bankers’ speeches  5