Upon completion of this program, participants will be able to:

• Explain the "too-big-to-fail" problem and the international policy response.
• Describe the methodologies for designating Global and Domestic SIFIs (**G-SIBs** and **D-SIBs**).
• Analyze the enhanced regulatory requirements for SIFIs (e.g., higher capital, TLAC, enhanced supervision).
• Evaluate the structure, content, and credibility of SIFI **Recovery and Resolution Plans (RRPs)** ("living wills").
• Understand the legal and operational implementation of the **bail-in** tool in bank resolution.
• Assess the effectiveness of cross-border supervisory colleges and cooperation agreements.
• Identify and manage the specific governance, risk management, and operational risks of SIFIs.
• Formulate policy recommendations to strengthen the national resolution regime for SIFIs.

• Bank Supervisors and Regulatory Authority Personnel
• Central Bank Financial Stability Analysts
• Commercial Bank Risk Management, Compliance, and Resolution Planning Teams
• Government Policy Makers on Financial Regulation
• Internal Auditors specializing in Large Bank Supervision
• Academics and Researchers in Financial Regulation

SIFI designation scoring exercises, RRP review and critique group project, Case studies on historical resolution failures (e.g., Lehman), Policy debates on TLAC/MREL calibration, Role-playing resolution authority decision-making, Legal analysis of bail-in implementation.

Unit 1: The SIFI Problem and Designation

• Defining systemic risk and the economic rationale for enhanced SIFI regulation.
• The moral hazard and competitive distortion associated with implicit guarantees.
• The international policy response: the G20/FSB agenda post-2008.
• Criteria for evaluating a firm's systemic footprint (e.g., size, interconnectedness, complexity).

• The methodology for scoring and designating **Global SIFIs (G-SIBs)**.
• National approaches for designating **Domestic SIFIs (D-SIBs)**.
• Regulatory implications of SIFI designation (e.g., higher capital surcharges, liquidity rules).
• Challenges in the supervision of non-bank financial institutions (NBFIs) as SIFIs.

Unit 2: Enhanced Prudential Requirements

• The application of the **G-SIB capital surcharge** and its calculation.
• The requirement for **Total Loss-Absorbing Capacity (TLAC)** for G-SIBs.
• The implementation and features of the minimum requirement for own funds and eligible liabilities (**MREL**) in other jurisdictions.
• Analyzing the impact of these requirements on SIFI funding costs and structure.

• Regulatory expectations for SIFI risk governance, controls, and risk culture.
• Requirements for enhanced public disclosure and transparency (e.g., stress test results).
• The use of cross-border **Supervisory Colleges** for consolidated oversight.
• Policy on separation of trading and retail activities (e.g., Volcker Rule, ring-fencing).

Unit 3: Recovery and Resolution Planning (RRP)

• The regulatory mandate for SIFIs to develop a credible **Recovery Plan** ("first line of defense").
• Key components of a recovery plan (e.g., options for capital generation, liquidity measures).
• The process of supervisory review and challenge of the recovery plan.
• The **trigger points** for moving from recovery to resolution.

• The regulatory requirement for Resolution Authorities to develop **Resolution Plans** for SIFIs.
• The preferred resolution strategy (e.g., Single Point of Entry, Multiple Point of Entry).
• Legal and operational feasibility of executing the resolution strategy (e.g., separability, operational continuity).
• The legal framework for the implementation of the **bail-in** tool.

Unit 4: Resolution Tools and Cross-Border Issues

• Mechanics of the **bail-in** tool: conversion and write-down of liabilities.
• Use of other resolution tools (e.g., bridge institution, asset separation).
• Ensuring continuity of critical functions (e.g., payment, custody, IT) during resolution.
• Legal challenges related to creditor safeguards and judicial review.