"Too big to fail" dossier

In the event of a disorderly failure, systemically ­important financial institutions can jeopardise ­entire economies and are therefore referred to as “too big to fail” (TBTF). Following the financial crisis of 2007/2008, the Swiss legislator promulgated special rules for the stabilisation, restructuring or liquidation of such institutions. The rules require higher capital and liquidity buffers as well as plans for recovery and resolution.