Governing financial market regulation: a cascade from intergovernmental bank resolution, to prudential regulation, to conduct regulation

What forms of governance characterise financial market regulation? This chapter looks mostly at European, particular Eurozone financial market regulation. The longest part of the chapter discusses the new Eurozone 'mechanisms' of banking union, with special attention to the European Stability Mechanism (ESM), and to the relationship between this and prudential regulation. As to prudential regulation, micro- and macro-, a tendency is noted for recent appointees to heads of agencies to be more socially diverse, innovative and crisis-fighting than prior to the crisis. Alongside resolution and prudential regulation, market conduct regulation is discussed here, as it remains a part of the mix, indeed it provides an increasingly publically visible face of regulation and it raises interesting questions. The chapter aims to construct a perspective on the dynamics of governance between the above.