SIFI
Business & Finance abbreviation · Banking
| Stands for | Systemically important financial institution |
|---|---|
| Categories | Business & Finance |
SIFI stands for Systemically important financial institution, a banking abbreviation.
Bank, insurer or other financial firm whose failure could threaten the stability of the financial system, the kind of institution often described as "too big to fail." Regulators subject SIFIs to tougher capital, liquidity and supervision requirements.
Example: Regulators debated whether the largest asset managers should be designated as SIFIs.
Usage notes
After the 2008 crisis, the US Financial Stability Oversight Council gained power to designate non-bank SIFIs; AIG, GE Capital, Prudential and MetLife were designated, though all of those designations were later removed. Globally systemic banks are called G-SIBs and domestic ones D-SIBs. Pronounced "SIFF-ee."
Related abbreviations
More banking abbreviations
- RWA – Risk-weighted assets
- S&L – Savings and loan association
- SAR – Suspicious activity report
- SBLC – Standby letter of credit
- SCA – Strong customer authentication
- SEPA – Single Euro Payments Area
- SLR – Statutory liquidity ratio
- SO – Standing order
- SWIFT – Society for Worldwide Interbank Financial Telecommunication
- TT – Telegraphic transfer
- UBO – Ultimate beneficial owner
- UPI – Unified Payments Interface