In recent years, assets of non-bank financial intermediaries (NBFIs) have grown significantly relative to those of … banks. These two sectors are commonly viewed either as operating in parallel, performing different activities, or as … substitutes, performing substantially similar activities, with banks inside and NBFIs outside the perimeter of banking regulation …

In recent years, assets of nonbank financial intermediaries (NBFIs) have grown significantly relative to those of banks …, performing substantially similar activities, with banks inside and NBFIs outside the perimeter of banking regulation. We argue … instead that NBFI and bank businesses and risks are so interwoven that they are better described as having transformed over …