The Bank Recovery and Resolution Directive (BRRD) is the EU rulebook for preparing banks and certain investment firms for financial distress and addressing failures when they occur. It requires firms and authorities to plan for potential problems and gives regulators tools to stabilize or wind down a failing institution while limiting disruption to the wider financial system.
Passende Formel
Source: European Central Bank (ECB) (source). This glossary entry is an independently worded adaptation of the cited information.