Canadians got it right!

I think we pretty much know that things are going to get worse before they get better. On the news and in newspapers, it seems that almost everyone has a solution for this global crisis. Yet who do we listen to?

Browsing the web, I came upon a brilliant article: " 'Boring' Canada's Financial Tips for the World."

I couldn't help but let out a slight chuckle. When was the last time you had fun with financial tips? Exactly.

If they got it right, then we should all tune our ears to their song, even if people think that their financial system is not "exciting." On the basis of the article, excitement and regulation are reciprocal of each other.

So what did they do that no one else seem to do?

1. Regulate all pools of capital that rely on leverage

2. Capital and liquidity buffers need to be large enough to handle big shocks

3. Regulate the financial system as a whole and not on the basis of individual institutions

4. Transparent and resilient market structure

5. Strengthen international coordination

From what I gather, the message can be summed to one world: regulation.

I think we pretty much know that things are going to get worse before they get better. On the news and in newspapers, it seems that almost everyone has a solution for this global crisis. Yet who do we listen to?

Browsing the web, I came upon a brilliant article: " 'Boring' Canada's Financial Tips for the World."

I couldn't help but let out a slight chuckle. When was the last time you had fun with financial tips? Exactly.

If they got it right, then we should all tune our ears to their song, even if people think that their financial system is not "exciting." On the basis of the article, excitement and regulation are reciprocal of each other.

So what did they do that no one else seem to do?

1. Regulate all pools of capital that rely on leverage

2. Capital and liquidity buffers need to be large enough to handle big shocks

3. Regulate the financial system as a whole and not on the basis of individual institutions

4. Transparent and resilient market structure

5. Strengthen international coordination

From what I gather, the message can be summed to one world: regulation.