Keywords: Subprime financial crisis, banking sector, bank management, business model, risk management.
The paper analyses the issue of capital management in an international banking group with regards to the new capital adequacy regulation that will be introduced. The banking system has been severely hit by the current financial crisis and the perspectives look rather challenging, although in Italy banks have shown a greater resilience to the adverse shock. In this framework, the banking sector looks to the new regulation as a way of gradually improve capital allocation and moving towards a common level playing field in terms of national fiscal policies and national regulations for bank supervision. In the changed competitive context, in addition to producing shareholder value, banks should have also a greater focus on meeting stakeholders' needs.