As Treasury Department officials review the Financial Stability Oversight Council’s designation process, they should also reexamine how the Dodd-Frank Act defines systemic risk.
The full-scale attack on the “orderly liquidation authority,” the Dodd-Frank Act provision authorizing the government to manage wind-downs of failed companies, is unfortunate.
President Donald Trump said he is actively considering breaking up giant Wall Street banks, giving a push to efforts to revive a Depression-era law separating consumer lending and investment banking.
Data analysis shows that a 21st-century version of the Depression-era limitations on bank activities will do little to meet the goals laid out by its proponents.
Lawmakers and others want the Trump administration to drop the Financial Stability Oversight Council's appeal of a controversial court ruling, but doing so may be harder than it sounds.
The risks associated with a megabank collapse still pose huge problems for the industry, despite assurances from the head of the nation’s largest bank.
The administration’s executive order on financial regulation is open to interpretation, but the document will likely serve as the touchstone for financial regulators in the years ahead.
