The first part of the discussion addressed the main causes of the financial crisis. These were in general of a structural nature, such as the nature of a certain range of financial products (CDOs, in particular), shortcomings of rating agencies, increasing opacity of financial markets, globalisation, inadequate compensation schemes, underestimation of systemic risks.

The second part analysed shortcomings of regulation and supervision. While there is no perfect model, the current one can be improved. One way of improving the European structure would be to reduce the geographical segmentation of supervision structures. Any reform in this direction must take account of the subsidiarity principle and must ensure accountability. The issue of ethical behaviour of banking and financial companies' staff in relation to customers was also addressed.

Conclusions:
Most experts considered that the most feasible solution would be to create a European system of supervisors with a two tier supervisory system. This would be a pan-European structure of supervision for major cross-border financial groups. The experts also underlined that the reform depends on joint political will and coordinated action on behalf of heads of state and government.

Source: Alde