The global shadow banking sector grew by 7.5 percent last year, and is half as large as the banking system in asset terms, according to the Financial Stability Board’s third annual Global Shadow Banking Monitoring Report (PDF). The FSB report includes data from 25 jurisdictions and the euro area as a whole, representing about 80 percent of global GDP and 90 percent of global financial system assets. For the first time the report also incorporates estimates from a hedge fund survey by the International Organization of Securities Commissions. The main findings of the FSB report are: On a broad estimate, the assets of non-bank financial intermediaries (excluding those of insurance companies, pension funds and public financial institutions) grew by $5 trillion in 2012 to reach $71 trillion. Non-bank financial intermediaries represent on average about 24 percent of total financial assets, and are equivalent to about half of banking system assets and 117 percent of GDP. These patterns
↧