The nation needs a more informed public discussion of the kind of financial system we really want before we try breaking up the big banks through legislation or regulatory fiat.
The CFPB has made fair lending a top priority. To avoid problems, scrutinize the agencys view of the laws, proactively analyze policies and document the reasons behind your loan decisions.
The more that compensation designs depart from well-grounded pay-for-performance principles, including appropriate metrics and actual financial results, the less effective they are as an incentive
The most effective housing reform would let the GSEs do what they do best: act as a conduit for private capital to enter the residential lending market.
Until a mechanism to shut the biggest and baddest is well in place, the prospect of taxpayer bailout will distort financial markets and handicap competitors.
The swap execution facility regime in Dodd-Frank, once championed as the magic pill to cure the problems in the derivatives market, is turning out to be less potent than hoped.
Know-your-customer, an essential precaution, must be coupled with know-your-employees. A host of instances highlight the involvement of employees in fraudulent transactions in most cases in league with customers.
Loan performance data show the entire case against GSE underwriting standards, and their role in the financial crisis, is based on social stereotyping, smoke and mirrors, and little else.
