A working paper published by the European Central Bank presents a highly detailed analysis of the interaction between the eurozone’s banks and its securities markets.

In Mapping bank securities across euro area sectors: comparing funding and exposure networks, Anne-Caroline Hüser and Christoffer Kok use what they call a “multilayer network approach”. The authors argue that the level of granularity in their study is “crucial for macro-prudential policy”.

They combine three large databases on