For all the deleveraging that banks are doing, new regulations aren’t reducing the amount of risk in the financial system so much as shifting it onto the buy side, says a new report from financial software firm Misys. “Western banks initiated the process of de-leveraging their balance sheets in advance of implementation of many of these capital metrics [such as Basel III] and are far more focused on the compliance issues associated with such regulations,” write consultant Will Dombrowski and Misys senior risk advisor Bradley Ziff. “De-risking activities still continue today, as Eurozone banks are currently on track to unload…