alleged by the critics; they point out that most bank assets are not fair valued, and the assets that are fair valued likely …

I identify issues that bank regulators need to consider if fair value accounting is used for determining bank … issues for bank regulators, I briefly review capital market studies that examine the usefulness of fair value accounting to … creditors when making investment decisions, and to ensure bank managers have incentives to select investments that maximise …

. We consider two main sources of information to the market, financial statements and information provided by credit rating …. However, the structure and lack of accountability of credit rating agencies had a profound impact on their incentives, which …-to-Market ; Fair-Value Accounting ; Credit Rating Agencies ; Financial Crisis ; Regulation ; Financial Institutions ; Banks …

investments which further depressed prices. This ultimately led to bank instability and the credit effects that reached a peak …There is a popular belief that the confluence of bank capital rules and fair value accounting helped trigger the recent … may have been other more significant factors putting stress on bank regulatory capital …