As we are moving toward a eurozone banking union, the European Central Bank (ECB) is going to take over the regulatory … problems in the financial sector and risks may remain that will pose substantial threats to financial stability in the eurozone. …

of the less regulated, so-called shadow banking sector. Employing flow-of-funds data for the Euro Area's non-bank banking … increase in non-bank banking). Overall intermediation activity, hence, has remained roughly at the same level. Moreover, our … findings also suggest that non-bank banks have tended to take positions in riskier assets (particularly in equities). In line …