# Cap on items of the balance sheet

- Canonical URL: https://www.gerhardmerk.de/cap-on-items-of-the-balance-sheet
- Post ID: 594937
- Modified: 2023-07-25T20:59:31+00:00
- Language: en

## Definition

Proposed authority of the supervisory authority to prescribe maximum amounts for certain balance sheet items, such as loans granted, guarantees assumed and securitized receivables. The prevention of a bank's difficulties is, however, the very task of the company's management and the relevant supervisory bodies, such as the supervisory board, group management or institution-specific control bodies. For reasons of commercial law alone, this cannot be transferred to an authority. The fundamental task of a supervisory authority is to ensure compliance with the rules of the game in the financial market. - See resolvability, bad bank problem, fundamental, bank, systemic. Attention: The financial encyclopedia is protected by copyright and may only be used for private purposes without express consent! University Professor Dr. Gerhard Merk, Dipl.rer.pol., Dipl.rer.oec. Professor Dr. Eckehard Krah, Dipl.rer.pol. E-mail address: info@ekrah.com https://de.wikipedia.org/wiki/Gerhard_Ernst_Merk https://www.jung-stilling-gesellschaft.de/merk/ https://www.gerhardmerk.de/

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