Monte: market waits to see what BRRD will be

As the path to Banca Monte dei Paschi di Siena’s survival looks increasingly uncertain, it is becoming clear there is a tension at the heart of Europe’s new bank recovery and resolution directive (BRRD). Ordinary people, the group the rules were designed to protect, might be the group they hurt the most. If the authorities show flexibility, MPS could yet become a blueprint for compassionate bail-in, writes Tyler Davies.