BIS’s Hannoun spots conundrum in 'no bailout' line

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Hervé Hannoun, the deputy general manager of the Bank for International Settlements, on Wednesday said the 'no bailout' policy adopted by regulators had not fully factored in pricing risks related to systemically important banks.

At the International Association of Deposit Insurers 2011 Research Conference in Basel, Switzerland, Hannoun said: “A crucial issue is whether financial markets have factored the no-bailout policy into their pricing of risk related to systemically important banks – and

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