G18 - General Financial Markets: Government Policy and RegulationReturn

The article deals with borrower-based instruments within macroprudential policy as measures aimed at reducing systemic risk regarding household debt. Our contribution is three-fold; Firstly, we show that more than 50% of countries in the European Economic Area have incorporated the borrower-based measures into their national legal framework. Secondly, we provide evidence that in countries exceeding the average level of household debt growth, more active caps are used. Thirdly, our results confirm the use of more than one active cap in countries where the house price increase was higher than average house price growth. We also highlight the reaction of the Czech National Bank and other authorities to the COVID-19 crisis, which has resulted in the relaxing of standards.

This article examines the periodic information duty of the companies listed on Prague Stock Exchange in relation to the information disclosed within annual reports. The most significant regulatory requirements in force as at December 31, 2013 are identified and divided into several sub-areas - requirements on the financial statements, Report on relations and the Report of the Board of Directors, notes and complementary information and financial position and financial results. The identified requirements are then confronted with actual information disclosed within annual reports of the companies analysed to assess the compliance with the applicable law and IFRS. The main objective of the research is to evaluate the degree to which the listed entities comply with the reporting requirements set by the current legal framework by means of a content analysis using a predefined scoring system. The concluding section summarizes the main findings and suggests further possible research in this area.

The paper deals with institutional arrangement of financial supervision in the Czech Republic. Financial markets are composed of partial financial segments specialized in individual types of financial instruments and individual customer groups. Financial institutions gradually transform into financial supermarkets. There are several models of institutional arrangement of financial supervision (integrated financial supervision model, sectional financial supervision model, financial supervision within the framework of the central bank, functional model of financial supervision). Creation of financial supermarkets encourages integration of supervisory institutions, generally outside the central bank. In the Czech Republic, several versions of institutional structure of financial market supervision have been discussed in the new millennium. Final decision was implemented precipitately without deeper analysis. The supervision of the all financial market was entrusted to the Czech National Bank with close liaison between execution of monetary policy and supervisory activities. Institutional structure does not automatically guarantee efficient supervision. Efficient supervision is based on an independent and transparent institution, staffed with quality employees and enforcement competences, supporting financial market development.