European banks have so far navigated the turmoil resulting from Russia’s invasion of Ukraine but need to be prepared for knock-on effects in seemingly unrelated parts of their business, their top regulator said. Direct exposures to Russia are “manageable overall” and even scenarios where banks would walk away from their Russian units appear contained given their capital strength, Andrea Enria, who leads the European Central Bank’s Supervisory Board, said Tuesday. “The area which we know least is the one of the indirect effects, which could be surprising,” Enria said at a conference organized by Morgan Stanley. “We ... (full story)