The Joint Committee of the European Supervisory Authorities (ESAs) (i.e. the EBA, EIOPA and ESMA) has highlighted the following main risks to the financial system resulting from the lasting effects of the 2007 financial crisis: (i) low growth and low yield environment, which may lead to participants engaging in risky search-for-yield business, increasing risks around asset valuation and concerns about market liquidity; (ii) profitability of financial institutions; (iii) interconnectedness within the financial system - related stability risks should be thoroughly assessed to mitigate the increasing risk exposure outside the traditional financial system; and (iv) the impact of the UK referendum on EU membership, which the Joint Committee believes has added further political and legal uncertainty.