Prof Julia Black NAB 7.09 and Dr Philipp Paech NAB 7.09

This course is available on the MPA in European Public and Economic Policy, MPA in International Development, MPA in Public Policy and Management, MPA in Public and Economic Policy, MPA in Public and Social Policy, MSc in Accounting, Organisations and Institutions, MSc in Law and Accounting, MSc in Management and Regulation of Risk, MSc in Regulation, MSc in Regulation (Research), MSc in Risk and Finance, Master of Laws and Master of Laws (extended part-time study). This course is not available as an outside option.

This course will be relevant to the following LLM specialisms: Banking Law and Financial Regulation, Corporate and Securities Law and International Business Law

This course focuses on the micro- and macro-prudential regulation of financial institutions and the financial system. It examines the prudential regulation of banks, bank resolution schemes, the regulation of shadow banking and other regulatory attempts to ensure financial stability. The focus will be on the regulation of national and international aspects of financial institutions and the financial system, rather than on private law and transactional aspects.

No previous knowledge of financial market regulation or background in economics is required for those wishing to follow this course. For non-lawyers, a willingness to engage in legal analysis will be necessary, although a legal background is not required.

The syllabus includes the following topics: • Rationales for macro and micro prudential regulation • Development of banking regulation • Resolution of failing banks • Shadow banking including hedge funds • Credit rating agencies • Derivatives trading • Clearing and settlement

20 hours of seminars in the LT.

There will be 10 two-hour lectures, plus ‘follow-up’ classes if numbers exceed 30. A number of guest lecturers may also be invited to give seminars on their specialist areas.

All students are expected to produce one 2,000 word formative essay during the course.

A full reading list will be distributed during the course and essential materials will be made available to the students electronically where possible. In addition, the students will be invited to do independent reading. Good general introductions are A. Turner et al, The Future of Finance: The LSE Report (2011) and D. Tarullo, Banking on Basel (2008) and E. Avgouleas, Governance of Global Financial Markets (2012).

Exam (100%, duration: 2 hours) in the main exam period.