Risk glossary
Risk glossary
Search for the definition you are looking for.
Single point of entry resolution (SPE)
A bank adopts a single point of entry resolution strategy if it plans for the resolution authority in its home jurisdiction to bail in debt and recapitalise a single parent company, leaving operating subsidiaries (often in other jurisdictions) to continue unaffected. This approach is required under US law, and allows any international wholesale-focused bank to allocate funds across jurisdictions during a crisis, improving capital efficiency by avoiding localised ring-fencing as far as possible.
See also Total loss-absorbing capacity.
Click here for articles on single point of entry resolution.