As nervous banks have pulled back from their traditional role in financing, large nonbank institutions — such as insurance companies, hedge funds, private equity, and mortgage REITs — have moved in. Global regulators are looking at the phenomenon and considering how they should extend their oversight.

The Financial Stability Board (FSB), which coordinates international standard-setting and financial authorities, has said that even as so-called nonbank financial intermediation (NBFI) sector had its first notable annual decrease since 2009, it still had assets of $217.9 trillion. The number represented 47.2% of total global financial assets and represents what is known as shadow banking. And that will be a major focus of the FSB as well as the International Organization of Securities Commissions (IOSCO) in 2024, with an emphasis on leverage.

The two organizations published a joint statement on "liquidity mismatch," when there can be a mismatch between the booked values of assets on a balance sheet and the practical recognized market value because of a factor like maturity or lack of demand.