An aggregation question

Economic Capital

Banks and insurance companies are increasingly entering each others' domains to broaden their product range and create economies of scale. In countries such as the UK and Germany, supervisory responsibilities have been assumed by integrated financial services regulators, covering both banking and insurance. By the same token, supervisory concepts are being copied from one industry and adapted to the needs of the other - clearly illustrated in the similarities between Basel II and Solvency II.


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