Author information:
László Seregdi https://orcid.org/0009-0008-5841-945X: Magyar Nemzeti Bank, Head of Department. E-mail: seregdil@mnb.hu
Nikolett Kovácsné Bóta https://orcid.org/0009-0004-0644-980X: Magyar Nemzeti Bank, Senior Regulatory Expert. E-mail: kovacsnebotn@mnb.hu
Abstract:
Capital adequacy requirements play a key role in the current prudential regulatory system for the financial sector, both for credit institutions and investment firms. This study summarises how the system of requirements has developed, which elements are similar for credit institutions and investment firms, what the differences are, and what justifies them. It is also examined whether the capital requirement regulatory system for investment firms has become more effective, as a result of the special framework based specifically on the particular risks of investment firms that was developed for them starting in 2021. Finally, the paper also discusses possible directions in which capital requirements regulation may further evolve in these sectors.
Cite as (APA):
Seregdi, L., & Kovácsné Bóta, N. (2026). Comparison of Capital Adequacy Rules for Credit Institutions and Investment Firms. Financial and Economic Review, 25(1), 79–99. https://doi.org/10.33893/FER.25.1.79
Column:
Study
Journal of Economic Literature (JEL) codes:
F38, G21, G24, G28, N24
Keywords:
capital adequacy, credit institutions, investment firms, prudential regulation
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