Attempts by national regulators to give their regulatory standards extra-territorial effect
beyond their own borders have become increasingly popular in fields as diverse as banking,
securities and derivatives regulation. The attractiveness of extra-territorial regulation for
policy-makers is obvious: in a world still reeling from the 2008 financial crisis, regulators can
export policy preferences unilaterally while preventing some of the most malicious forms of
regulatory arbitrage that can undermine their effectiveness.