It seems that the informal power of the integrated supervisors is
sufficiently larger than that set by legislation. Supervisory
recommendations, sanctioning policy or any other elements of
non-binding rule-making are different appearances of this informal
power.

For a research paper I would need detailed information on informal
powers of - integrated - Financial Supervisors (government agencies
that oversee all the financial sectors (eg.: money market, capital
market, insurance sector, pension funds, etc.), in particular:
- broad definition of informal power
- borderline between formal and informal power
- main scope of general types of informal powers used in the various
areas of supervision:
    a. inspection
    b. decision-making
    c. enforcement
    d. other (please, specify)
- a description of the main tools used in informal powers (informal
communication)
- sectoral or any other differences in the scope of availability and
utilization of informal powers
- main advantages associated with the utilization of informal supervisory
powers
- major risks associated with the utilization of informal supervisory
powers
- effectiveness of informal powers especially vis-à-vis formal supervisory
powers

---------
I am very much aware of the fact that answer to this multi-part and
complex question requires great amount of research and specialized
knowledge, nevertheless I am hopeful a thorough answer can be
obtained. I am obviously more than ready to answer any follow-up
clarifications that may surface. In addition, a rapid answer is not of
great concern (as long as I get an indication that someone is dealing
with it) my timeframe is just about a month!
Thanks for your attention!

---

Request for Question Clarification by pafalafa-ga on 25 Jul 2006 04:41 PDT

zvajda-ga,

Can you clarify the jurisdiction of your question?  Is this meant to
apply to authorities in the US, another country, internationally?

Also, you mention inspection and enforcement, which strike me as
rather formal powers, rather than informal.  Can you clarify your
expectations here as well.

Lastly, please don't presume yet that I'll be working on your
question.  I'm willing to take a preliminary look, but you've asked
for quite a lot, and I suspect that it's a larger project than I'm
able to undertake.

Still, the clarifications will help.

Thanks,

pafalafa-ga

---

Clarification of Question by zvajda-ga on 25 Jul 2006 05:33 PDT

Hello pafalafa-ga,

My research is not focused on any given country or group of countries,
but instead would neet to look at the theory and the practice behind
the use of informal powers. I am mostly looking at integrated
financial supervisory authorities, such as Australia (APRA), Austria
(FMA), Belgium (CBFA), Canada (osfi-bsif), Denmark (Finanstilsynet),
Germany (Bafin), Hungary (HFSA), Iceland (FME), Ireland (IFSRA), Japan
(FSA), Korea (FSS), Norway (Kredittilsynet), Singapore (MAS), Sweden
(FI), The Netherlands (STE), United Kingdom (FSA) but - due to its
nature - evidence of the use of informal powers in non-integrated
authorities would also be useful.

Obviously, the areas of supervision I mentioned (inspection,
enforcement) are stages of formal powers, but these also often entail
the use of informal elements. For example:
inspection - recommendations, suggestions, prudential meetings, letters;
decision-making - public announcements, industry consultations; 
enforcement - the use of publicity as a further deterent. 

I would need an overview of this topic as well as a comprehensive
compilation of online (and possibly offline) references, articles, etc
on this - it seems rather unresearched - area.

Thanks for at least considering to take a dive into this... Please ask
for further clarification if needed.

zvajda-ga

---

Request for Question Clarification by pafalafa-ga on 25 Jul 2006 06:33 PDT

Thanks.

My familiarity is with US authorities, so I'll probably take a pass on
this question.  Hopefully, another researcher will be able to pick it
up.

paf

---

Clarification of Question by zvajda-ga on 25 Jul 2006 10:50 PDT

Hello pafalafa-ga,

I'm sorry to hear that and hope someone else out there will be able to
carry out this task.

Thanks,

zvajda