—The current financial crisis has shown the
fragility of the regulation authorities especially in the
managing of both Large complex financial institutions and
toxic financial assets. This paper aims to propose a new form of
financial market regulation based on the visibility of the risk
rate of financial products to limit the liquidity problematic in
presence of discontinues events. A qualitative result obtained
by Mean Field Analysis methodology is illustrated to show the
applicability of our proposal.
—Toxic asset, liquidity crisis, visibility, main
D. Manini is with the Computer Science Department of University of
Torino, Torino, ITALY (e-mail: firstname.lastname@example.org).
P. Pisano and M. Pironti are with the E-Business Lab of University of
Torino, Torino, ITALY.
M. Gribaudo is with the Polytechnic of Milano, Milano, ITALY.
Cite:Daniele Manini, Paola Pisano, Marco Pironti, and Marco Gribaudo, "The New Model of Financial Market Regulation: How to Limit the Liquidity Crisis," International Journal of Trade, Economics and Finance vol.3, no.5, pp. 393-397, 2012.