When we think about the Basel III implications, we are concerned about the implications for our underlying clients, said Michael Winnike, Director, Market Structure, BlackRock.
Speaking at the SIFMA’s Basel III Endgame Roundtable on April 18, Winnike highlighted two categories of issues.
One is the overall impact of excessive capital levels on the price and capacity for intermediation, he said.
The other is the idiosyncratic impacts of some elements of the proposal and the G-SIB surcharge proposal in particular, he added.
On Thursday, April 18, 2024, SIFMA hosted a second roundtable discussion on this critical issue, covering overall reflections on the Basel III Endgame proposal and an evaluation of the proposal’s impacts on U.S. capital markets, end users, and the broader economy.
With respect to the overall capital levels, Winnike said that BlackRock has aligned interest with regulators in making sure that the financial system and the banking system in particular is sound and secure.
“We have strong risk management professionals that look at the credit risk of counterparties we face,” he said.
Winnike commented that the…
