4207 The system of non-bank financial intermediaries (NBFI; i.e., shadow banks) has grown rapidly in recent decades up to a roughly size of about Dollar 71 trillion. Shadow banks moved for a number of reasons into the focus of regulatory authorities: (1) the risks associated with circumventing existing rules and the accumulation of high levels of debt, (2) the growing size of the shadow banking system and its associated impact on the real economy and (3) risk stemming from the interconnection and interdependency of banks and shadow banks. The shadow banking system should be considered to be a part of a banking system that evolved out of the traditional banking system, and which combines traditional and innovative banking. The shadow banking system comprises institutions, such as finance companies; several managed funds; a complex array of instruments, such as Asset Backed Securities and repurchase agreements; and structures and markets that replicate core banking activities. Overall, a complex chain of multiple relations between a numbers of institutions has evolved. Each of these institutions performs a different part of the intermediation process. Therefore, it is important to understand the nexus within the shadow banking sector and connections with the traditional banking sector. This work will examine specific institutions involved in the shadow banking system and their development. Further, the scenario of a modern-type bank run within the MMF sector will identify potential weak points of the shadow banking system that should be addressed by financial regulation. The FSB was tasked to develop, in collaboration with other standard setting bodies, a policy framework to monitor and supervise shadow banking activities and entities. This work aims to structure and organize this proposed regulatory framework and reflects the recommendations regarding the stability of money market funds and their impact on financial stability critically.