Week 6B: Public and Private Enforcement in the Field of European Financial Law

Question 1

List the three models of financial supervision

Answer 1

NB: do week 6 questions

-Twin-peak model
-Integra. model
-Sector-based model

Question 2

Explain what the twin-peak model is

Answer 2

• Model of Financ. SUpervision
  -Pru. Sup. + Con. of bus. supervision in the hands of two sep. authorities

Question 3

Explain the advantages of the Twin Peak Model

Answer 3

-Each authority can focus on part. area
-> yass

Question 4

Explain the disadvantages of the Twin Peak Model

Answer 4

-Prud. and consumer interests often conf. with each other
-prud. reg. agency might not want all consumers 2 be copens–> affect finan. health of bank + indus.

Question 5

Explain what the integrated model is

Answer 5

-ONE authority
-in charge of both prud. + con. of bus. regu.

Question 6

Explain the Sector based model

Answer 6

-Different author. in charge
-diff. sectors of fina. services

Question 7

TRUE or FALSE: ESMA is the main financial supervisory authority in the EU

Answer 7

TRUE: ESMA

Question 8

TRUE or FALSE: ESMA follows the integrated model of supervision law

Answer 8

-FALSE: sector based