The Bank Recovery and Resolution Directive (BRRD) introduces an EU-wide regime for recovery and resolution planning for, and for resolution action to be taken in respect of, banks and large investment firms (typically the large sell-side institutions) (FIs)2. The cut-off for implementation was 31 December 20143, except the bail-in tool (described below) which needs to be implemented by 1 January 2016.

In the US, Title II of the Dodd-Frank Act, or the Orderly Liquidation Authority, provides an alternative insolvency regime for financial companies, including bank holding companies...