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A jurisdictional comparison of the twin peaks model of financial regulation

Author

Listed:
  • Andrew Godwin

    (The University of Melbourne)

  • Timothy Howse

    (The University of Melbourne)

  • Ian Ramsay

    (The University of Melbourne)

Abstract

The last two decades have seen an increasing number of jurisdictions adopting the ‘twin peaks’ model of financial regulation. Since it was pioneered in Australia, the model has been adopted by the Netherlands, Belgium, New Zealand and the United Kingdom. South Africa is currently in the process of changing its model, and it has also been considered by the US. This paper evaluates the twin peaks model as it has been adopted in these jurisdictions and investigates the extent to which there is uniformity in its design and implementation from a regulatory perspective. The comparative analysis indicates that there are many variations in the design of a twin peaks model and that there is no archetypal twin peaks model. In particular, choices need to be made around key elements in areas such as structural design, operational independence and regulatory coordination.

Suggested Citation

  • Andrew Godwin & Timothy Howse & Ian Ramsay, 2017. "A jurisdictional comparison of the twin peaks model of financial regulation," Journal of Banking Regulation, Palgrave Macmillan, vol. 18(2), pages 103-131, April.
    • Handle: RePEc:pal:jbkreg:v:18:y:2017:i:2:d:10.1057_s41261-016-0005-0
    DOI: 10.1057/s41261-016-0005-0
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    References listed on IDEAS

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    Cited by:

    1. Aleksandra Nadolska, 2022. "Czy Polska potrzebuje nadzoru finansowego typu Twin Peaks?," Bank i Kredyt, Narodowy Bank Polski, vol. 53(2), pages 203-230.

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