Podcasts about Financial Stability Oversight Council

The Financial Stability Oversight Council's recent report on non-bank mortgage servicing includes recommendations to Congress and state regulators aimed at addressing key vulnerabilities, with the Mortgage Bankers Association expressing concerns over increased costs and regulatory complexity.-------------------------------------------------------------Adam DeSanctis, Director of Public Affairs at Mortgage Bankers AssociationAs a strategic public affairs and communications executive with nearly two decades of experience, Adam has deep expertise in strategy, management, and media relations. He is widely considered to be an expert in a variety of communications, including advocacy, brand, executive, crisis, grassroots, and social media. In his career, he has been the MBA spokesperson on a wide variety of real estate research and advocacy-related issues, promoted MBA research and advocacy efforts to financial, political, and trade industry media and on MBA's social media channels, and secured media opportunities for MBA leadership on key real estate trends and issues, generated media coverage for MBA's research and data on mortgage applications, credit availability, homebuilder applications, mortgage forbearance/delinquencies, commercial real estate originations, and forecasts, and other industry analysis, developed key strategic initiatives for MBA's organizational public affairs plan, media relations and member communications support for mPower, MBA's Opens Doors Foundation and MBA's Diversity, Equity, and Inclusion programs.

My guest today is Scott Fulford, a senior economist at the Consumer Financial Protection Bureau where he led the development of the Making Ends Meet Survey. He has represented the U.S. at the OECD, and he regularly speaks at the Federal Reserve Board, Federal Reserve banks, the OCC, the Financial Stability Oversight Council, the FDIC, the NBER, and universities. The topic is his book The Pandemic Paradox: How the COVID Crisis Made Americans More Financially Secure. In this episode of Trend Following Radio we discuss: Economic growth and decline during the pandemic Government intervention and financial support Inflation and its causes Potential economic bubble Counterfactuals in pandemic response Impact on stock market and employment The potential for a better, fairer and more productive economy Jump in! --- I'm MICHAEL COVEL, the host of TREND FOLLOWING RADIO, and I'm proud to have delivered 10+ million podcast listens since 2012. Investments, economics, psychology, politics, decision-making, human behavior, entrepreneurship and trend following are all passionately explored and debated on my show. To start? I'd like to give you a great piece of advice you can use in your life and trading journey… cut your losses! You will find much more about that philosophy here: https://www.trendfollowing.com/trend/ You can watch a free video here: https://www.trendfollowing.com/video/ Can't get enough of this episode? You can choose from my thousand plus episodes here: https://www.trendfollowing.com/podcast My social media platforms: Twitter: @covel Facebook: @trendfollowing LinkedIn: @covel Instagram: @mikecovel Hope you enjoy my never-ending podcast conversation!

My guest today is Scott Fulford, a senior economist at the Consumer Financial Protection Bureau where he led the development of the Making Ends Meet Survey. He has represented the U.S. at the OECD, and he regularly speaks at the Federal Reserve Board, Federal Reserve banks, the OCC, the Financial Stability Oversight Council, the FDIC, the NBER, and universities. The topic is his book The Pandemic Paradox: How the COVID Crisis Made Americans More Financially Secure. In this episode of Trend Following Radio we discuss: Economic growth and decline during the pandemic Government intervention and financial support Inflation and its causes Potential economic bubble Counterfactuals in pandemic response Impact on stock market and employment The potential for a better, fairer and more productive economy Jump in! --- I'm MICHAEL COVEL, the host of TREND FOLLOWING RADIO, and I'm proud to have delivered 10+ million podcast listens since 2012. Investments, economics, psychology, politics, decision-making, human behavior, entrepreneurship and trend following are all passionately explored and debated on my show. To start? I'd like to give you a great piece of advice you can use in your life and trading journey… cut your losses! You will find much more about that philosophy here: https://www.trendfollowing.com/trend/ You can watch a free video here: https://www.trendfollowing.com/video/ Can't get enough of this episode? You can choose from my thousand plus episodes here: https://www.trendfollowing.com/podcast My social media platforms: Twitter: @covel Facebook: @trendfollowing LinkedIn: @covel Instagram: @mikecovel Hope you enjoy my never-ending podcast conversation!

RAJ'S BIO Raj Date is one of the most prolific and multi-lensed people in finance. He also happens to be an incredible human being, a dear friend and business partner. He is Managing Partner of Fenway Summer, an advisory and investment firm focused on financial services and financial technology. He chairs the investment committee of Fenway Summer Ventures and is a general partner of Crossbeam Venture Partners, both venture capital funds. He also serves on the boards of Circle, a digital asset firm; Green Dot, a technology-driven mass market bank; Linden Lab, an internet company best known as the creator of Second Life, and the metaverse payments pioneer Tilia. He is founding director of the Payments Leadership Council, a CEO-led trade association. For Raj, Fenway is the latest chapter in a long and varied career in and around U.S. financial institutions — as a senior policymaker, as a bank executive, and a deal maker on Wall Street. He was the first-ever Deputy Director of the U.S. Consumer Financial Protection Bureau (CFPB). As the Bureau's second-ranking official, he helped launch the agency and steward its strategy, its operations, and its policy agenda. He also served on the senior staff committee of the Financial Stability Oversight Council, and as a statutory deputy to the FDIC Board. Before his public service, Raj was a Managing Director in the Financial Institutions Group at Deutsche Bank Securities, Senior Vice President for Corporate Strategy and Development at Capital One Financial, and a strategy consultant in the financial institutions practice of McKinsey & Company. Raj is a graduate of the College of Engineering at the University of California at Berkeley (highest honors) and the Harvard Law School (magna cum laude). RAJ RELATED LINKS Wikipedia Profile Fenway Summer Circle | Green Dot | Linden Lab American Banker Profile Testimony | CFPB 1st 100 Days Orrick's RegFi Podcast Episode GENERAL INFO| TOP OF THE GAME: Official website: https://topofthegame-thepod.com/ RSS Feed: https://feed.podbean.com/topofthegame-thepod/feed.xml Hosting service show website: https://topofthegame-thepod.podbean.com/ Javier's LinkTree: https://linktr.ee/javiersaade & Bio: https://tinyurl.com/36ufz6cs  SUPPORT & CONNECT: LinkedIn: https://www.linkedin.com/showcase/96934564 Facebook: https://www.facebook.com/profile.php?id=61551086203755 Twitter: https://twitter.com/TOPOFGAMEpod Subscribe on Podbean: https://www.podbean.com/site/podcatcher/index/blog/vLKLE1SKjf6G Email us: info@topofthegame-thepod.com   THANK YOU FOR LISTENING – AVAILABLE ON ALL MAJOR PLATFORMS  

NCUA Chairman Todd M. Harper's Written Testimony Before the House Financial Services CommitteeNCUA Chairman Todd M. Harper testifying before the House Financial Services Committee in 2023.Chairman McHenry, Ranking Member Waters, and members of the committee, thank you for inviting me to discuss the work of the National Credit Union Administration (NCUA).The NCUA insures deposits at federally insured credit unions, protects credit union members, and charters and regulates federal credit unions. The NCUA also protects the safety and soundness of the credit union system by identifying, monitoring, and managing risks to the National Credit Union Share Insurance Fund (Share Insurance Fund). In my testimony today, I will discuss the state of the credit union system, recent efforts by the agency to strengthen the system, and several legislative requests.State of the Credit Union SystemThe credit union system over the last year has remained largely stable in its performance and relatively resilient against economic disruptions. However, during the last few quarters, the NCUA has seen growing signs of financial strain on credit union balance sheets and in household budgets. Economists are also forecasting an economic slowdown as the lagged effects of elevated interest rates take hold. Each of these developments could affect credit union performance in the coming quarters.Over the same period, the NCUA has also seen growing stress within the system because of a rise in interest rate and liquidity risks. In fact, this financial stress is reflected in the increasing number of composite CAMELS code 3, 4, and 5 credit unions.1 Assets in composite CAMELS code 3 institutions increased sizably in the second quarter, especially among those complex credit unions with more than $500 million in assets. Such increases may well continue in future quarters. We have additionally seen more credit unions fall into the composite CAMELS code 4 and 5 ratings during the second quarter.Credit Union System PerformanceAs of June 30, 2023, the system's net worth ratio stood at 10.63 percent. There was continued year-over-year growth in assets and lending, with system assets surpassing $2.2 trillion and outstanding loans at more than $1.5 trillion. Although insured shares and deposits decreased slightly compared to the previous quarter, they stood almost 2 percent higher than one year earlier.Second quarter data also demonstrate some indications of growing consumer financial stress. The delinquency rate for loans rose slightly to 63 basis points, although it remains below historic averages. Credit cards and automobile loans, however, show increased delinquency levels at 154 and 67 basis points, respectively. Additionally, net charge-off levels have risen over the last year, returning to pre-pandemic averages.Additionally, funding costs for credit unions have increased significantly in the rising interest rate environment. Credit unions have increased their issuances of time deposits, leading to total interest expenses growing substantially over the year. However, the industry's return on average assets remains sound at 79 basis points. Together, these numbers show the credit union system continues to rest on a solid footing.External Factors Affecting the SystemThe NCUA is closely monitoring the financial markets and the economy as the current environment has created challenges for some consumers and credit unions. Inflation and interest rates are affecting household budgets, which could lead to an increase in credit risk in future quarters. In addition, the prevalence of hybrid work environments has placed pressure on commercial real estate lending. While the credit union system overall has modest exposure to this type of lending, the NCUA is closely monitoring individual credit unions with material exposure to commercial real estate.The rise in interest rates has also increased liquidity and interest rate risks in the credit union system, including at several of the 421 federally insured credit unions with more than $1 billion in assets. Accordingly, the NCUA has emphasized the importance of liquidity risk management and contingency planning in its industry communications and will continue to ensure credit unions conduct liquidity and asset-liability management planning to address current challenges and future uncertainties.With respect to all these risks and to protect the Share Insurance Fund against potential losses, the NCUA will continue to vigilantly monitor credit union performance through the examination process, offsite monitoring, and tailored supervision. The NCUA will also, when appropriate, take action to protect credit union members and their deposits.Share Insurance Fund PerformanceBacked by the full faith and credit of the United States, the Share Insurance Fund provides insurance coverage for individual accounts at federally insured credit unions up to $250,000.2 As of June 30, 2023, the Share Insurance Fund insured $1.7 trillion in deposits and shares. Notably, the Share Insurance Fund protects nearly 92 percent of total share deposits in the credit union system. In comparison, uninsured shares and deposits equaled approximately $160 billion in the second quarter or 8 percent of total share deposits.The Share Insurance Fund continues to perform well, with no premiums currently expected. As of June 30, 2023, the Share Insurance Fund reported a year-to-date net income of $79 million, a net position of $20.3 billion, and an equity ratio of 1.27 percent.3 The NCUA projects that the equity ratio of the Share Insurance Fund will end the year at 1.27 percent, which is sufficient but below the 1.33 percent normal operating level target set by the NCUA Board.Given the liquidity events in 2023, economic conditions, and the growing stress in the credit union system from liquidity and interest rate risks, the NCUA Board decided to build up the liquidity position of the Share Insurance Fund to a targeted amount of $4 billion. The Share Insurance Fund reached that target in September. The NCUA Board continues to monitor liquidity in the Share Insurance Fund.State of the Central Liquidity FacilityThe COVID-19 pandemic, inflationary pressures, interest rate volatility, and liquidity risk have all underscored the importance of the NCUA's Central Liquidity Facility (CLF).4 The CLF is an important tool and acts as a shock absorber when unexpected liquidity events occur.Under the NCUA's regulations, credit unions with assets more than $250 million must have access to a federal emergency liquidity source as part of their contingency funding plans. This federal emergency liquidity backstop can be the CLF, the Federal Reserve's Discount Window, or both. Credit unions with less than $250 million in assets are not required to have membership with a contingent federal liquidity source; however, they must identify external sources as part of their liquidity policy.5As of September 30, 2023, the CLF had 399 consumer credit union members, providing $19.8 billion in lending capacity. These credit unions range in asset size from less than $50 million to more than $10 billion. Their access to the CLF helps protect approximately $360 billion in credit union members' assets.The more members the CLF has, the more effective it is as a liquidity facility. As of December 2022, the CLF had a much greater total membership of 3,673 consumer credit unions with a combined $537 billion in member assets and a lending capacity of $27.5 billion. This rapid decline in membership assets followed the expiration of the temporary statutory enhancements that: Increased the CLF's maximum legal borrowing authority; Permitted access for corporate credit unions, as agent members, to borrow for their own needs; Provided greater flexibility and affordability to agent members to join the CLF to serve smaller groups of their covered institutions; and Gave the NCUA Board the clarity and flexibility about the loans it can approve by removing the phrase, “the Board shall not approve an application for credit the intent of which is to expand credit union portfolios.” Among other benefits, these statutory provisions facilitated agent membership of corporate credit unions. These enhancements, however, ended on January 1, 2023, resulting in 3,322 credit unions with less than $250 million in assets losing access to the CLF. Consequently, the CLF's borrowing capacity has decreased by almost $10 billion.To address this expiration and growing liquidity risks, the NCUA Board has unanimously requested that Congress allow corporate credit unions to purchase capital stock in the CLF to help smaller credit unions access to the facility. This change would make the CLF more affordable for corporate credit unions subscribing for a subset of their members. The Congressional Budget Office has scored the CLF reforms at no cost to taxpayers.6NCUA's Efforts to Protect and Strengthen the Credit Union SystemIn recent months, the NCUA has undertaken several actions to respond to cybersecurity risk; support minority depository institutions; enhance the credit union system's and the NCUA's diversity, equity, and inclusion efforts; and consider and adopt new rules to strengthen the system.Enhancing CybersecurityCybersecurity threats within the financial services industry are high and expected to remain so for the foreseeable future. To maintain vigilance against these threats, the NCUA is committed to ensuring consistency, transparency, and accountability in its cybersecurity examination program and related activities.Earlier this year, the NCUA deployed its updated, scalable, and risk-focused Information Security Examination (ISE) procedures. The ISE examination initiative offers flexibility for credit unions while providing examiners with standardized review steps to facilitate advanced data collection and analysis. Together with the agency's voluntary Automated Cybersecurity Evaluation Toolbox maturity assessment, the new ISE procedures will assist the NCUA in protecting the credit union system from cyberattacks.In addition, the NCUA's recently implemented cyber incident reporting rule has proven to be helpful to the agency and credit union industry.7 The final rule requires a federally insured credit union to report a substantial cyber incident to the NCUA as soon as possible but no later than 72 hours after the credit union reasonably believes a reportable cyber incident has occurred. In the first 30 days after the rule became effective, the NCUA received 146 incident reports, more than it had received in total in the previous year. More than 60 percent of these incident reports involve third-party service providers and credit union service organizations (CUSOs).The NCUA also actively communicates with credit unions about the increased likelihood of cyberattacks resulting from geopolitical and other cyber events. Credit unions of all sizes are a part of the U.S. critical infrastructure and should implement appropriate controls in the technology they use to deliver member services.Maintaining Consumer Financial ProtectionAn important part of the NCUA's mission is to examine credit unions with less than $10 billion in assets for compliance with consumer financial protection laws. The agency's consumer compliance efforts are integral to maintaining a safe-and-sound credit union system.In 2023, the agency's consumer financial protection supervisory priorities have included overdraft protection, fair lending, residential real estate appraisal bias, and Truth in Lending Act and Fair Credit Reporting Act compliance. The NCUA also prioritized examining credit union compliance with the Flood Disaster Protection Act, including disclosure requirements.In addition, the agency increased its review of overdraft programs and non-sufficient funds fee practices at credit unions to assess whether providing those services and charging the fees are potentially unfair practices. The NCUA's supervision of the services aims to create a more equitable system that supports financial stability for credit union members, improves transparency, and advances the statutory mission of credit unions to meet the credit and savings needs of their members, especially those of modest means.8Furthermore, the NCUA conducts targeted fair lending examinations and supervision at federal credit unions to assess compliance with federal fair lending laws and regulations. These reviews are critical to identifying discrimination and fostering financial inclusion. In August 2023, the NCUA encouraged the industry to review and comply with previously issued guidance addressing prohibited discriminatory practices in automated underwriting systems. Specifically, the agency encouraged credit unions to review system parameters to ensure compliance with the Equal Credit Opportunity Act and its implementing regulation.In addition to appraisal bias oversight examinations, the NCUA joined with the other Federal Financial Institution Examination Council agencies in June to issue proposed guidance for reconsideration of value for residential real estate valuations. The proposed guidance advises on policies that financial institutions may implement to allow consumers to provide information that may not have been considered during an appraisal or if deficiencies are identified in the original appraisal.As part of its consumer financial protection efforts, the NCUA's Consumer Assistance Center also resolves consumer complaints against federal credit unions with total assets up to $10 billion and, in certain instances, federally insured, state-chartered credit unions. In 2022, the Consumer Assistance Center responded to 10,589 written complaints, 1,842 inquiries, and 30,232 telephone calls from consumers and credit unions concerning consumer financial protection regulations.Finally, the NCUA regularly presents webinars promoting financial literacy and financial inclusion. Over the past year, the agency has hosted webinars on appraisal bias, elder financial abuse, and minority depository institutions. In addition, the agency participates in national financial literacy initiatives, including the interagency Financial Literacy and Education Commission.Supporting Minority Depository InstitutionsSupporting minority depository institution (MDI) credit unions is a longstanding priority for the NCUA. MDI credit unions represent approximately 10 percent of federally insured credit unions, and there are presently 498 such credit unions. These MDIs have more than five million members and exceed $66 billion in assets.In 2015, the NCUA established its MDI Preservation Program and has since sought new ways to assist MDI credit unions, their members, and the communities they serve. In 2022, the NCUA launched the Small Credit Union and MDI Support Program, allocating resources to assist MDIs in addressing operational challenges such as staff training, examinations, and improving earnings. In 2023, the NCUA allocated 10,000 staff hours across its three regional offices for the program.This year, the agency also issued customized guidance to examiners to provide insights into MDIs' unique business models and members' needs. The guidance assists examiners in understanding MDIs' distinct business model compared to other mainstream financial institutions by providing instruction on how to use MDI peer metrics instead of traditional peer metrics.Notably, while MDIs tend to be smaller institutions, they have relatively strong financial performance. As of the end of the second quarter of this year, MDIs averaged about $133 million in total assets, yet their return on average assets and net worth ratios were higher than federally insured credit unions overall and equal to credit unions with assets exceeding $1 billion. Meanwhile, their charge-off levels were consistent with the levels reported for both larger credit unions and credit unions overall.Congress recently authorized all MDIs to be eligible for Community Development Revolving Loan Fund grants and loans. Previously, MDIs required the low-income credit union designation to qualify. In the 2023 grant round, 42 MDIs received more than $1.4 million in technical assistance grants. The amount of funding MDIs received was a five-fold increase from the level of funding provided in 2022.Finally, the NCUA in October hosted an MDI Symposium that discussed how the agency can better serve these institutions. The MDI Symposium brought together MDI credit unions and industry stakeholders to learn about the challenges faced by MDIs. Sessions included case studies of successful MDI business models for replication. The NCUA plans to leverage this information to further support its MDI Preservation Program. And, as part of the NCUA's Diversity, Equity, and Inclusion Summit for credit unions in early November, the NCUA held a session that discussed MDI challenges and strategies for success.Advancing Diversity, Equity, and InclusionThe NCUA is fully committed to fostering diversity, equity, and inclusion (DEI) within the agency and the credit union system.The agency uses data from the Federal Employee Viewpoint Survey, including the Office of Personnel Management's Diversity, Equity, Inclusion, and Accessibility index, to inform its data-driven DEI strategies and activities.9 The agency's internal practices to promote DEI are also wide-ranging. For example, the NCUA's employee resource groups serve more than 30 percent of agency staff, surpassing the industry standard membership goal of 10 percent. Further, the NCUA's special emphasis program educates staff on cultural diversity and provides dedicated support for employees and managers with disabilities.In addition, the NCUA routinely recruits employees with diverse backgrounds and seeks to ensure broad applicant pools for vacancies. These diversity recruitment efforts are aimed at attracting and retaining highly qualified individuals from underrepresented groups, including Hispanics and candidates with disabilities. In 2023, the NCUA conducted a targeted barrier analysis to identify hiring and retention challenges for women and Hispanic employees. In addition, the agency has consistently exceeded the federal employment rate goals for employees with disabilities and targeted disabilities since 2017.10 Slightly more than 59 percent of the NCUA's managers are women.The NCUA has additionally built a diverse supplier network to obtain innovative solutions and the best value, particularly in technology and IT solutions. During 2022, the agency awarded $32.8 million of reportable contract dollars to minority and women-owned businesses. That figure represents 45 percent of the agency's contracting dollars, an increase of 8 percentage points from the prior year.Credit unions may also assess their DEI policies and programs through a voluntary credit union diversity self-assessment offered annually.11 Credit union submissions of their self-assessment have no bearing on their CAMELS rating, and examiners cannot access the data. The NCUA reports credit union diversity data only in the aggregate. The agency encourages credit unions to use this tool to support their DEI efforts.In 2022, 481, or 10 percent of all credit unions, submitted a self-assessment. The figure represents an all-time high for submissions to the NCUA. Of those submissions, 302 were federally chartered credit unions, 178 were federally insured and state-chartered, and one was a non-federally insured, state-chartered credit union. The number of CUDSA responses in 2022 is twice as much as the 240 self-assessments submitted in 2021.Finally, to support credit union accomplishments in DEI and provide further guidance, the NCUA hosted its fourth DEI Summit in Washington, D.C., in early November. This now annual event provided a forum for hundreds of credit union stakeholders to network, share best practices, and meet with thought leaders on ways to expand their DEI efforts. The event also highlighted the importance of allyship in helping to achieve the NCUA's and credit unions' DEI goals and improve the financial prospects and futures of families across the country.Rulemaking ActivitiesSince May, the NCUA Board has engaged in several rulemakings on topics like MDI preservation, member expulsion, financial innovation, fair hiring, and charitable donations. These rulemakings have aimed to implement laws required by Congress and strengthen the credit union system.In May, the NCUA Board approved a proposed rule that would add “war veterans' organizations” to the definition of a “qualified charity” that a federal credit union may contribute to using a charitable donation account. The NCUA Board approved the proposed rule noting the attributes of “veterans' organizations” as defined by section 501(c)(19) of the Internal Revenue Code are aligned with the purposes of the current charitable donation account rule. A “qualified charity” is a section 501(c)(3) entity defined by the Internal Revenue Code and must be both a non-profit and be organized for a charitable purpose. The final rule will be considered on November 16.In June, the NCUA Board approved proposed changes to the interpretive ruling and policy statement on the agency's Minority Depository Institution Preservation Program. The proposal would amend an existing interpretive ruling and policy statement to update the program's features, clarify the requirements for a credit union to receive and maintain an MDI designation, and reflect the transfer of the MDI Preservation Program administration from the agency's Office of Minority and Women Inclusion to its Office of Credit Union Resources and Expansion. Proposed amendments to the interpretive ruling and policy statement also include incorporating recent program initiatives, providing examples of technical assistance an MDI may receive, establishing a new standard for MDIs to assess their designation periodically, and updating how the NCUA will review an MDI's designation status, among other changes. This rule is pending.Additionally, the Board finalized a rule in July to implement requirements of the Credit Union Governance Modernization Act of 2022.12 This regulation streamlines procedures for credit unions to expel a member in cases of serious misconduct.In September, the NCUA Board approved a financial innovation final rule that provides flexibility for federally insured credit unions to utilize advanced technologies and opportunities offered by the financial technology sector. The final rule specifically provides credit unions with options to participate in loans acquired through indirect lending arrangements and financial technology. With the adoption of this final rule, the limits previously found in the NCUA's regulations are replaced with policy, due diligence, and risk-management requirements that can be tailored to match each credit union's risk levels and activities.Lastly, the NCUA Board in October approved a proposed rule that would incorporate the NCUA's Second Chance Interpretive Ruling and Policy Statement, and statutory prohibitions imposed by Section 205(d) of the Federal Credit Union Act into the agency's regulations. This proposed rule would allow people convicted of certain minor offenses to work in the credit union industry without applying for the NCUA Board's approval. It would also amend requirements governing the conditions under which newly chartered or troubled federally insured credit unions must notify the NCUA of proposed changes to their board of directors, committee members, or senior executive staff. The comment period closes on January 8, 2024.Legislative RequestsWhile the credit union system continues to perform well overall, several amendments to the Federal Credit Union Act would provide the NCUA with greater flexibility to effectively regulate the credit union system and protect the Share Insurance Fund in light of an evolving economic environment, a changing marketplace, and technological advancements.Central Liquidity Facility ReformsAs noted previously, the NCUA Board unanimously supports a statutory change to restore the ability of corporate credit unions to serve as CLF agents on behalf of a subset of their member credit unions. Such legislation would better allow the CLF to serve as a shock absorber for liquidity events within the credit union system.On February 28, 2023, lawmakers introduced bipartisan legislation that would allow corporate credit unions to purchase CLF capital stock on behalf of a subset of their members.13 This legislation would permit corporate credit unions to contribute capital to provide coverage for smaller members with less than $250 million in assets. Liquidity risks within the credit union system are rising, and timely consideration of this bill would better protect the credit union system from future liquidity events.Restoration of Third-Party Vendor AuthorityThe risks resulting from the NCUA's lack of vendor authority are real, expanding, and potentially dangerous for the nation's financial infrastructure. Other independent entities, including the Government Accountability Office, the Financial Stability Oversight Council, and the NCUA's Office of Inspector General, have identified this deficiency as inhibiting the NCUA from fulfilling its mission to safeguard credit union members and the financial system. And, it is the NCUA Board's continuing policy to seek third-party vendor authority from Congress.14The agency is working within its current authority to address this growing regulatory blind spot, but it is evident that additional authority is needed. There has also been a shift in credit union leaders' understanding of the value of the NCUA having the same vendor authority as the federal banking agencies. The benefits include credit union access to NCUA examination information when conducting due diligence of vendors, fewer requests from the NCUA to credit unions to intervene with vendors experiencing problems, and fewer losses to the Share Insurance Fund.The potential for such resulting losses to the Share Insurance Fund is real. The NCUA's Office of Inspector General stated that between 2008 and 2015, nine CUSOs contributed to material losses to the Share Insurance Fund. The report noted one of the CUSOs caused losses in 24 credit unions, some of which failed. According to NCUA staff calculations, at least 73 credit unions incurred losses between 2007 and 2020 as losses at CUSOs roll onto credit union ledgers and lead to liquidations.15The absence of third-party vendor examination authority limits the NCUA's ability to assess and mitigate potential risks associated with these vendors. Vendors typically decline these requests or refuse to implement recommended actions. This limitation exacerbates any exposure credit unions have to the operational, cybersecurity, and compliance risks that can arise from these relationships. Without the authority to enforce recommended corrective actions, the NCUA is unable to effectively protect credit unions and their members.Furthermore, the growing reliance on third-party services in the credit union industry poses a systemic risk to the credit union system. Five core banking processors, for example, handle more than 90 percent of the credit union system's assets. A failure of one of these critical third parties could cause hundreds of credit unions and potentially tens of millions of their members to lose access to their funds simultaneously. Such a vendor failure, in turn, may result in a loss of confidence in the financial sector. Ensuring proper oversight is imperative, as CUSOs and third-party vendors are poised to capitalize on financial institutions' growing appetite for artificial intelligence and real-time payment services.If granted third-party vendor authority, the NCUA would implement a risk-based examination program focusing on services that relate to safety and soundness, cybersecurity, Bank Secrecy Act and Anti-Money Laundering Act compliance, consumer financial protection, and areas posing significant financial risk for the Share Insurance Fund.Additional Flexibility for Administering the Share Insurance FundThe recent turmoil in the banking sector, growing liquidity risks within the credit union system, and rising interest rate risk all highlight the need for the NCUA to have additional flexibility for administering the Share Insurance Fund.Specifically, the NCUA requests amending the Federal Credit Union Act to remove the 1.50 percent ceiling for the Share Insurance Fund's equity ratio from the current statutory definition of “normal operating level,” which limits the ability of the Board to establish a higher normal operating level for the Share Insurance Fund. A statutory change should also remove the limitations on assessing Share Insurance Fund premiums when the equity ratio of the Share Insurance Fund is greater than 1.30 percent and if the premium charged exceeds the amount necessary to restore the equity ratio to 1.30 percent.16Together, these amendments would bring the NCUA's statutory authority over the Share Insurance Fund more in line with the FDIC's authority as it relates to administering the Deposit Insurance Fund. These amendments would also better enable the NCUA Board to proactively manage the Share Insurance Fund by building reserves during economic upturns so that sufficient money is available during economic downturns. This more counter-cyclical approach to managing the Share Insurance Fund would better ensure that credit unions will not need to impair their one percent contributed capital deposit or pay premiums during times of economic stress, when they can least afford it.ConclusionThe NCUA stands ready to address the impact of the evolving economic and business cycles within the credit union system. The NCUA will continue to monitor credit union performance and coordinate with other federal financial institution regulators, as appropriate, to ensure the overall resiliency and stability of our nation's financial services system and economy.Thank you again for the invitation to testify about the NCUA's programs and operations. 

Watch The X22 Report On Video No videos found Click On Picture To See Larger Picture The green new deal is now being pushed very hard, the Germans are removing the debt barricade and Biden is now telling all Federal employees to use EVs, electric trains etc. This will fail in the end. The economy is breaking down and the people no longer believe the Biden admin to help the economy, they are turning towards Trump. The [DS] is felling the pain, there is panic in DC and Hunter already signaled that he will flee the country if Trump is re-elected. Hunter is not worried about the indictments he is more worried about Trump.  The other [DS] players will try to feel and they will use riots to distract everyone, this will fail because the military will shutdown the country because we were attacked. Game over.   (function(w,d,s,i){w.ldAdInit=w.ldAdInit||[];w.ldAdInit.push({slot:13499335648425062,size:[0, 0],id:"ld-7164-1323"});if(!d.getElementById(i)){var j=d.createElement(s),p=d.getElementsByTagName(s)[0];j.async=true;j.src="//cdn2.customads.co/_js/ajs.js";j.id=i;p.parentNode.insertBefore(j,p);}})(window,document,"script","ld-ajs"); Economy  British economic contraction worse than expected Output declines in all three major sectors were key contributors to a drop in GDP in October The UK economy contracted by 0.3% in October, the first time since July that GDP had shrunk on a month-by-month basis, according to data released by the Office for National Statistics on Wednesday. The drop comes after a gain of 0.2% in September. Services, industrial production, and construction all showed weaker-than-expected results. The three sectors, which combined had declined for the first time in five months, were the major trigger for the drop in GDP due to their size in the economy. In particular, manufacturing and construction fell by 1.1% and 0.5% respectively in October, while the country's dominant services sector shrank by 0.2%. Consumer-facing services saw a decrease of 0.1%, leaving output in the sector 5% below pre-pandemic levels. The largest negative contributions came from other personal service activities, which declined by 2.3%. Source: rt.com Biden Tells Federal Employees To Use EVs And Trains On Official Travel  By Tsvetana Paraskova of OilPrice.com The Biden Administration is directing Federal agencies to prioritize the use of sustainable transportation such as electric vehicles and trains for official travel, as part of efforts to build a clean transportation future, the White House said in new guidelines.   Last year, federal employees took more than 2.8 million flights, 2.3 million vehicle rentals, and 33,000 rail trips, the Administration added. The prioritization of cleaner transportation includes guidelines that federal employees will rent an EV on official travel when the cost of the EV is less than or equal to the most affordable comparable vehicle available. Employees will also opt for cost-competitive EV options where available when using taxis and ride-share platforms. Source: zerohedge.com https://twitter.com/unusual_whales/status/1735653685773140433?s=20 Commercial real estate a top threat to financial system in 2024, U.S. regulators say    The Financial Stability Oversight Council issued its 2023 annual report Thursday, and listed commercial real estate as the first in its list of financial risks to the U.S. economy. FSOC was created in the wake of the 2008 financial crisis to identify potential risks to the financial stability of the United States and to promote market discipline. It comprises the heads of the major U.S. financial regulators and is chaired by Treasury Secretary Janet Yellen. The report noted that commercial real estate loans totaled nearly $6 trillion in the second quarter of 2023, roughly half of which were owned by U.S. banks,

Singapore stocks opened muted today amid a mixed performance among index counters. That is in contrast with global markets, which finished higher overnight. In early trade, the Straits Times Index (STI) headed down 0.04 per cent to 3,121.85 points, after 93.4 million securities changed hands in the broader market.  In terms of companies to watch today, we have Keppel DC Reit. That's as the Reit's Chinese subsidiary has issued a letter of demand to its tenant of three data centres in Guangdong, to recover 48.3 million yuan (S$9.1 million) of late rentals, interests and taxes.  Meanwhile from more on China's home prices and retail activity to US regulators adding artificial intelligence to its list of potential financial system risks, more international headlines remain in focus.  On Market View, The Evening Runway's finance presenter Chua Tian Tian unpacked the developments with Sunny Soh, Lead Technical Analyst (Capital Markets & Investor Education), SIAS.See omnystudio.com/listener for privacy information.

Full Testimony below.  In this episode, I discuss why the statements below and recent events in credit union cybersecurity will lead NCUA to push harder on obtaining 3rd Party Vendor Authority.  I predict it will be Priority One for NCUA in 2024.Director of Financial Technology and Access Charles Vice's Written Testimony Before Subcommittee on Digital Assets, Financial Technology, and InclusionChairman Hill, Ranking Member Lynch, and members of the subcommittee, thank you for inviting me to discuss the efforts of the National Credit Union Administration (NCUA) to encourage innovation in financial technology. I am Charles A. Vice, Director of the NCUA's Office of Financial Technology and Access.Introduction and BackgroundI began my career with the Federal Deposit Insurance Corporation in 1990, serving as an examiner for 18 years. In 2008, I was appointed Commissioner of the Kentucky Department of Financial Institutions, a post I held for 14 years before joining the NCUA on January 1, 2023.Having worked with financial regulators for over 33 years, I understand the financial services industry's vital role in the U.S. economy. The NCUA insures deposits at federally insured credit unions, protects the members who are not only consumers but also owners of credit unions, and charters and regulates federal credit unions. The strength of the credit union industry is based on the number and diversity of credit unions that meet the financial needs of their members. Safe, fair, and affordable access to financial services is necessary to ensure that local, state, and national economies grow and thrive.During my three decades of experience, I have witnessed the resiliency of the credit union and banking industries in the face of challenges such as Y2K, the Great Recession, natural disasters, and the COVID-19 pandemic. I have also seen how technology can be both a boon and a bane. On one hand, technology can improve efficiency, facilitate better communication with members, and offer round-the-clock services. On the other hand, technology presents risks that must be managed, monitored, and mitigated. The NCUA understands this fine balance.NCUA Office of Financial Technology and AccessThe NCUA Office of Financial Technology and Access identifies barriers, challenges, and opportunities credit unions face in adopting and using technology to provide financial products and services to their members. Recently, the NCUA Board adopted the financial innovation rule, which provides additional flexibility for federally insured credit unions to use advanced technologies and opportunities offered by the financial technology sector.1 During the notice and comment period, the proposed rule received supportive comments from the public and was finalized in September 2023.In addition, the NCUA is committed to promoting effective and efficient uses of emerging technology. The agency has implemented several initiatives, including a Virtual Examination Program and a Digital Asset Working Group. With its Virtual Examination Program, the NCUA is exploring methods to use technology to improve its examination and supervision procedures. The NCUA's Digital Asset Working Group is an agency team that develops guidance for the credit union industry's use of distributed ledger technology, digital assets, and cryptocurrency.The NCUA is also evaluating digital identification technology. The use of digital identification can be a reliable tool for verifying identity and is becoming increasingly popular with a number of states issuing mobile driver's licenses. Some credit unions have completed successful pilot tests using digital identification and have updated their policies and procedures to incorporate this technology for onboarding new members.While technology can offer benefits for member services, as well as back office and compliance functions, the agency is monitoring for safety and soundness, consumer financial protection, and the potential for bias in technology platforms and solutions.Furthermore, the NCUA values the synergy between financial technology innovation and credit union inclusion. In 2020, the NCUA launched the ACCESS initiative—Advancing Communities through Credit, Education, Stability, and Support—which promotes financial inclusion using technology to achieve its goals. The NCUA is actively working to establish plans, objectives, and research to enhance financial inclusion through technology.In 2024, ACCESS will spearhead an initiative to improve access to financial services in financial deserts. This initiative will highlight opportunities where the agency can assist communities where credit union services are limited, or certain segments of the population are underserved. This initiative will also identify outreach opportunities, ensuring that ACCESS's actions are timely, relevant, and impactful. Using this information, the ACCESS team will pilot targeted outreach for three communities in 2024. As part of this pilot, the NCUA will catalog and track the impact of the agency's financial inclusion efforts and identify additional gaps and opportunities to foster financial inclusion.Third-Party Vendor AuthorityIn the context of financial innovation and technology, the NCUA's need for supervisory examination authority over credit union service organizations and third-party vendors is a noteworthy vulnerability for the system. Other independent entities, including the Government Accountability Office, the Financial Stability Oversight Council, and the NCUA's Office of Inspector General, have identified this deficiency as inhibiting the NCUA from fulfilling its mission to safeguard credit union members and the financial system. And it is the NCUA Board's continuing policy to seek third-party vendor authority from Congress.2Credit unions increasingly partner with third-party vendors to enhance their products and services, make their programs cost-effective, provide access to expertise, and promote programs that may not be feasible if provided independently. The pandemic has accelerated the industry's shift to digital services, which has increased the industry's reliance on such vendors.However, unlike the other federal banking regulatory agencies, the NCUA does not have supervisory authority over third-party vendors or providers, leading to a regulatory blind spot. This lack of oversight puts federally insured credit unions at a competitive disadvantage compared to insured banks, and members of credit unions at greater risk of a significant breach or technology disruption. As cybercriminals, foreign adversaries, and money launderers increasingly target third-party service providers to exploit vulnerabilities across the U.S. critical infrastructure sectors, there is more exposure to the credit union industry if the NCUA does not have visibility into these providers.If Congress reauthorizes third-party vendor authority for the NCUA, the agency will adopt a program that prioritizes examinations based on the risks related to the National Credit Union Share Insurance Fund, safety and soundness, cybersecurity, consumer financial protection, and Bank Secrecy Act/Anti-Money Laundering compliance. This statutory change would give credit union members the same protection as bank customers, resulting in improved customer service and enhanced protection. Further, the potential benefits of vendor authority include credit union access to NCUA examination information when conducting due diligence of vendors, fewer requests from the NCUA to credit unions to intervene with vendors experiencing problems, and fewer losses to the Share Insurance Fund.ConclusionThank you again for the invitation to testify about the NCUA's efforts to foster financial technology and financial inclusion. I look forward to your questions.

Insurance losses from climate-enhanced extreme weather disasters are changing the insurance landscape. And this week, several groups have sent a letter to Treasury Secretary Janet Yellen and the Financial Stability Oversight Council to call for greater federal oversight of the insurance industry in light of soaring disaster costs.Anne Perrault, finance policy counsel with advocacy group Public Citizen, shared more about the asks.

As a series of U.S. lenders were besieged by customers yanking out their money this month, banking giants such as JPMorgan Chase & Co, Citigroup Inc. and Bank of America Corp. warned employees: Do not make it worse. JPMorgan, the nation's largest bank, told all employees they "should never give the appearance of exploiting a situation of stress or uncertainty," in a March 13 memo. "We do not make disparaging comments regarding competitors."In this episode of The Higher Standard, Chris and Saied examine this news and determine the effect it will have on the economy as a whole.They discuss data showing that customers have recently pulled nearly $100 billion in deposits, while Treasury Secretary Janet Yellen, Federal Reserve Chairman Jerome Powell and more than a dozen other officials convened a special closed meeting of the Financial Stability Oversight Council.Chris and Saied look at news that Deutsche Bank's stock plunged Friday as the market hones in on the German firm as the next major bank at risk in the wake of long-time rival Credit Suisse's collapse and similar events stateside. Frankfurt-listed shares of Deutsche Bank dropped 7.5%, now down more than 25% since March 8, when confidence in the international banking system began to crumble.They also offer some thoughts on data from Trepp, an analytics provider for the Structured Finance, CRE, and Banking markets, indicating that this year, roughly $270 billion in commercial mortgages held by banks are set to expire. This means that big owners of property face the prospect that beleaguered banks, especially smaller ones, could get more aggressive with lending arrangements, giving landlords even less room to breathe as they try to refinance a mountain of loans coming due.Join Chris and Saied for this fascinating and informative conversation.Enjoy!What You'll Learn in this Show:Paul Volcker's monetary policy career and Ben Bernanke's role in AIG bailout.Jerome Powell's role in the current banking crisis.The two different types of lender in the commercial real estate space.Why JP Morgan and Bank of America have been telling staff not to poach clients from stressed competitors.And so much more...Resources:"Volcker Slayed Inflation. Bernanke Saved the Banks. Can Powell Do Both?" (article from Bloomberg)"Exclusive: JPMorgan, Citi, BofA tell staff not to poach clients from stressed banks" (article from Reuters)"Nearly $100 billion in deposits pulled from banks; officials call system ‘sound and resilient'" (article from CNBC)Custodia Bank via Twitter"Veteran of FDIC Takeover Tells What It's Like to Run a Failed Bank" (article from The Wall Street Journal)"What's Going On at Deutsche Bank?" (article from The...

Microsoft Activision deal - back in the spotlight. Bank runs have cooled - but there are still questions. Resilient - yes, that's the word Fed officials will use. Over and over to describe banks. PLUS we are now on Spotify and Amazon Music/Podcasts! Click HERE for Show Notes and Links DHUnplugged is now streaming live - with listener chat. Click on link on the right sidebar. Love the Show? Then how about a Donation? Follow John C. Dvorak on Twitter Follow Andrew Horowitz on Twitter Warm Up - More Banks - But not to worry - Odds are for RATE CUTS this year starting July - Chili Cook Off - The Results (ask Andrew about the Cocoa) - Crawfish Boil and BBQ this weekend - What is JCD Doing? - Dueling message on Seaweed Blob - Moores law - Coiner - Dies Market Update - Big Bucks pulled from banks - (they have been screwing depositors for years with low rates) - Big banks getting those Big Bucks - Recession odds increased with all of these problems A Moment - Gordon Moore, the Intel Corp. co-founder whose theory on computer-chip development became the yardstick for progress in the electronics industry, has died. He was 94. Bank Notes - Nearly $100 billion in deposits pulled from banks; officials call system 'sound and resilient' - Treasury Secretary Janet Yellen, Federal Reserve Chairman Jerome Powell and more than a dozen other officials convened a special closed meeting of the Financial Stability Oversight Council on Friday. --- "The Council discussed current conditions in the banking sector and noted that while some institutions have come under stress, the U.S. banking system remains sound and resilient," the statement said. - Data released Thursday showed that institutions took a daily average of $116.1 billion of loans from the central bank's discount window, the highest since the financial crisis, and have taken out $53.7 billion from the Bank Term Funding Program. Sunday - Kashkari: “The banking system is resilient, and it's sound,” Kashkari told Margaret Brennan on CBS's “Face the Nation.” “The banking system has a strong capital position and a lot of liquidity and has the full support of the Federal Reserve and other regulators standing behind it. Now, I'm not saying that all of the stresses are behind us, I expect this process will take some time.” Controversial - Big banks, advising smaller banks... - The dynamic has put big banks like JPMorgan and Goldman Sachs in the awkward position of playing multiple roles simultaneously in this crisis. Big banks are advising smaller ones while participating in steps to renew confidence in the system and prop up ailing lenders like First Republic, all while gaining billions of dollars in deposits and being in the position of potentially bidding on assets as they come up for sale. New Programs - Because Banks are Sound - US authorities are considering expanding an emergency lending facility for banks in ways that would give First Republic Bank more time to shore up its balance sheet, according to people with knowledge of the situation. - AND YET - "I think this is more of a Bear Stearns moment. I think a lot of people, including me, said when they bailed out Bear Stearns, they increased moral hazard. They created an expectation of further bailouts," former FDIC Chair Sheila Bair said Friday - "[The government is] trying to imply that all uninsured are protected, which they don't have legal authority to do, frankly, and this is putting pressure on community banks," she said. "It's really troubling." First Citizens Buys Silicon Valley bank - SWEETHEART DEAL - First Citizens BancShares is acquiring $72 billion in SVB assets at a discount of $16.5 billion - But even after the deal closes, the FDIC remains on the hook to dispose of the majority of remaining SVB assets, about $90 billion, which are being kept in receivership. - And the FDIC agreed to an eight-year loss-sharing deal on commercial loans F...

The International Monetary Fund (IMF) issues a warning about global financial instability due to banking sector turmoil as rising interest rates put pressure on debts. Concerns that the European banking crisis has caused problems—first with Credit Suisse and now with Deutsche Bank facing liquidity risk—led U.S. Treasury Secretary Janet Yellen to preside over a private meeting of the Financial Stability Oversight Council.

Daily Standup Top StoriesBiden Reaches Moment of Truth for Electric Vehicle Tax CreditsMarch 25, 2023 Mariel Alumit​One week from today, the auto world will know where the Biden administration stands on some of the toughest policy questions surrounding the US transition to electric vehicles.Ever since Senator Joe Manchin shocked Washington by clinching a […]“Significant” Amount Of Toxic Waste From Ohio Train Derailment Heads To BaltimoreMarch 25, 2023 Mariel AlumitENB Pub Note: The dramatic toxic impact and the Bide Administration's poor waste handling have been covered on several of the ENB Podcasts. Dr. Chalmers is a renowned health and wellness expert and has covered […]LG Energy Solution to Spend $5.5 Billion on US Battery PlantsMarch 25, 2023 Mariel Alumit​LG Energy Solution Ltd. will invest 7.2 trillion won ($5.5 billion) building a giant manufacturing complex in Arizona as the electric-car battery maker seeks to speed up production in order to meet rising demand for […]US Weighs Expanding Fed's Emergency Liquidity Program To Stabilize First Republic, Other Regional BanksMarch 25, 2023 Mariel AlumitOne day after a lengthy meeting on the growing bank crisis by the Financial Stability Oversight Council (chaired by Janet Yellen who five years ago vowed there would be “no financial crises in her lifetime“) […]As We Sell Off Our Strategic Oil Reserves, Ponder ThisMarch 25, 2023 Mariel AlumitAuthored by Bruce Wilds via Advancing Time blog, One of Biden's answers to combating higher gas prices has been to tap into America's oil reserves. While I was never a fan of the U.S. Strategic […]Highlights of the Podcast00:00 – Intro03:16 – Biden Reaches Moment of Truth for electric vehicle tax credits06:10 – Significant amount of toxic waste from Ohio train derailment heads to Baltimore09:54 – LG Energy Solutions to spend 5.5 billion on U.S. battery plants11:30 – U.S. weighing expanding Fed's emergency liquidity program to stabilize first Republic and other regional banks14:01 – As we sell off our strategic oil reserves, ponder this17:37 – Market Updates19:21 – China Yuan Vs. US Dollar21:35 – Talks about the Dark Fleet25:44 – Outro

[00:30] A World on the Brink (8 minutes) American elites are busy debating transgender rights while the world burns. Protests are raging in France. Germany faces a general strike on Monday, and Deutsche Bank is teetering on the brink. Treasury Secretary Janet Yellen called an unscheduled meeting of the Financial Stability Oversight Council today, likely because of the looming economic crash. [8:30] Israel's Anti-Netanyahu Protests (16 minutes) In her column yesterday, Melanie Phillips explained how the widespread protests in Israel against Prime Minister Benjamin Netanyahu's proposed judicial reforms are fundamentally irrational. The protests demonstrate the rabid hatred of Israel's left against Netanyahu and expose a broader attack on Western values. [24:30] More Trump Derangement Syndrome (17 minutes) Manhattan District Attorney Alvin Bragg lashed out at Donald Trump yesterday with a five-page letter alleging that Trump created a false expectation of arrest to rile up his voter base and raise campaign money. Ray Epps might sue Tucker Carlson for identifying Epps as a government-backed agitator during the fake insurrection. Although Epps claims that he was a regular Trump-supporting protester, his lawyer is an aggressive anti-Trump leftist. [41:30] America's Anti-Family Culture (14 minutes) Rome's fall demonstrates that the destruction of the God-created institution of family is a nation-threatening problem. The anti-family movement within the United States is leading to America's collapse.

Fintech, cryptocurrency, digital assets… you may have heard these terms in the news, but what are they? We discuss this new era of innovation, challenges, opportunities, and what consumers should know in our latest episode of Making Cents of Money! Special thanks to IDFPR Regulatory Innovation Officer David DeCarlo for joining us! Additional Resources: • JP Morgan Institute, Research on the Dynamics and Demographics of U.S. Household Crypto-Asset Use https://www.jpmorganchase.com/institute/research/financial-markets/dynamics-demographics-us-household-crypto-asset-cryptocurrency-use • Financial Stability Oversight Council, Report on Digital Asset Financial Stability Risks and Regulation: https://home.treasury.gov/system/files/261/FSOC-Digital-Assets-Report-2022.pdf • President's Working Group on Financial Markets, Report on Stablecoins: https://home.treasury.gov/system/files/136/StableCoinReport_Nov1_508.pdf • IDFPR Office of Innovation: https://idfpr.illinois.gov/About/innovation.asp Previous Making Cents of Money episodes: 1. Episode 3 – Technology and Your Money: https://soundcloud.com/idfpr/episode-3-technology-and-your-money?utm_source=clipboard&utm_campaign=wtshare&utm_medium=widget&utm_content=https%253A%252F%252Fsoundcloud.com%252Fidfpr%252Fepisode-3-technology-and-your-money 2. Episode 24 – Cryptocurrency: https://soundcloud.com/idfpr/mcom-ep24-cryptocurrencyfinal?utm_source=clipboard&utm_medium=text&utm_campaign=social_sharing Get Savvy Webinars (Recorded & Upcoming): 1. Leveraging FinTech: https://youtu.be/H0vWKQYuLU8 2. Memes & Money: What are the Facts? (upcoming). Register at https://go.uillinois.edu/getsavvywebinars

Episode 17 of Hard Money with Natalie Brunell - Headlines this week include aggressive interest rate hikes, commentary from Fed Vice Chairwoman Layl Brainard, a warning from investment strategist Lyn Alden, Ray Dalio stepping down at Bridgewater Associates, ongoing volatility in the credit markets and the recovery of the British pound, concerns over the solvency of Credit Suisse and Deutsche Bank, a warning from the United Nations to the Fed and other cnetral banks, a report from the Financial Stability Oversight Council on the risks of crypto tokens, Kim Kardashian settling with the SEC for her part in promoting EthereumMax, NYDIG raising 720 million dollars for its institutional bitcoin fund, Telefónica in Spain partnering with Bit2Me, Bitcoin hash rate hitting another all time high, an update regarding Celsius founder and former CEO Alex Mashinsky, Ross Ulbricht beginning his 10th year in prison, the new mini-doc "Comeback Country," and a summary of El Salvador President Nayib Bukele's latest op-ed for Bitcoin Magazine. Unfortunately due to Natalie still recovering from laryngitis, this week's episode does not include an interview or Special Report, but we will be back next week with a full episode, and we will be record on location in Amsterdam, for the Bitcoin Amsterdam Conference. Chapters: 00:00:00 "Hard Money" Intro 00:00:35 Macroeconomic and Political Headlines from this Week 00:04:02 Bitcoin Headlines from this Week 00:10:31 "Hard Money" Outro Watch "Comeback Country | The Story of El Salvador" from Bitcoiner Shooter: https://youtu.be/KwC2KwDmpXQ Hard Money with Natalie Brunell features weekly headlines and hard hitting interviews from the world of Bitcoin and Finance, a macro update with Andy Edstrom, as well as Bitcoin stories from around the world. Hard Money is a production of Swan Studios. Connect with Natalie and Hard Money on Twitter: https://twitter.com/natbrunell https://twitter.com/hardmoneyshow Save the date for the Pacific Bitcoin Conference, November 10th & 11th in Los Angeles, California. Purchase your tickets now before the prices go up: https://pacificbitcoin.com Swan Bitcoin is the best way to accumulate Bitcoin with automatic recurring buys and instant buys from $10 to $10 million. Get started in just 5 minutes. your first $10 purchase is on us: https://swanbitcoin.com/yt Are you a high net worth individual or do you represent a corporation that might be interested in learning more about Bitcoin? Swan Private guides corporations and high net worth individuals toward building generational wealth with Bitcoin. Find out more at https://swanbitcoin.com/private Check out the best place for Bitcoin education, Swan Bitcoin's "Bitcoin Canon". Compiling all of the greatest articles, news sources, videos and more from your favorite bitcoiners! https://www.swanbitcoin.com/canon/ #bitcoin #bitcoinnews #hardmoney

This episode is sponsored by Nexo.io, Circle and FTX US. After a brutal “Rektember,” might a green “Uptober” be back on the menu? On today's episode, NLW looks at the markets' impressive October Day One performance and what's behind the positive shift. He also looks at the SEC's Kim Kardashian enforcement action and a new report on crypto from the Financial Stability Oversight Council.  - Nexo Pro allows you to trade on the spot and futures markets with a 50% discount on fees. You always get the best possible prices from all the available liquidity sources and can earn interest or borrow funds as you wait for your next trade. Get started today on pro.nexo.io. - FTX US is the safe, regulated way to buy Bitcoin, ETH, SOL and other digital assets. Trade crypto with up to 85% lower fees than top competitors and trade ETH and SOL NFTs with no gas fees and subsidized gas on withdrawals. Sign up at FTX.US today. - I.D.E.A.S. 2022 by CoinDesk facilitates capital flow and market growth by connecting the digital economy with traditional finance through the presenter's mainstage, capital allocation meeting rooms and sponsor expo floor. Use code BREAKDOWN20 for 20% off the General Pass. Learn more and register at coindesk.com/ideas. - “The Breakdown” is written, produced by and features Nathaniel Whittemore aka NLW, with editing by Rob Mitchell and research by Scott Hill. Jared Schwartz is our executive producer and our theme music is “Countdown” by Neon Beach. Music behind our sponsors today is “The Now” by Aaron Sprinkle and “The Life We Had” by Moments. Image credit: aleksle/Getty Images, modified by CoinDesk. Join the discussion at discord.gg/VrKRrfKCz8.

Tuesday October 4, 2022 - Financial Stability Oversight Council (FSOC), ever heard of this coiuncil? Not too many have. The FSOC is charged with identifying risks to the financial stability of the United States; promoting market discipline; and responding to emerging risks to the stability of the United States' financial system. In the Council's Annual Report the council warned that unregulated cryptocurrencies could pose a risk to the U.S. financial system. This warning foreshadows additional regulations on the way. Attonrey Steven A. Leahy looks at the Council's recommendations and the danger ahead. https://www.barrons.com/articles/cryptocurrency-regulation-fsoc-bitcoin-51664905317 https://www.cnbc.com/2022/10/03/cryptocurrency-treasury-warns-digital-assets-could-threaten-stability-of-economy.html https://home.treasury.gov/policy-issues/financial-markets-financial-institutions-and-fiscal-service/fsoc/studies-and-reports/annual-reports --- Send in a voice message: https://anchor.fm/steven-leahy1/message

Monday was the third-best October start in the stock market since 1930. This episode is sponsored by Nexo.io, Circle and FTX US.After a brutal “Rektember,” might a green “Uptober” be back on the menu? On today's episode, NLW looks at the markets' impressive October Day One performance and what's behind the positive shift. He also looks at the SEC's Kim Kardashian enforcement action and a new report on crypto from the Financial Stability Oversight Council. -Nexo Pro allows you to trade on the spot and futures markets with a 50% discount on fees. You always get the best possible prices from all the available liquidity sources and can earn interest or borrow funds as you wait for your next trade. Get started today on pro.nexo.io.-FTX US is the safe, regulated way to buy Bitcoin, ETH, SOL and other digital assets. Trade crypto with up to 85% lower fees than top competitors and trade ETH and SOL NFTs with no gas fees and subsidized gas on withdrawals. Sign up at FTX.US today.-I.D.E.A.S. 2022 by CoinDesk facilitates capital flow and market growth by connecting the digital economy with traditional finance through the presenter's mainstage, capital allocation meeting rooms and sponsor expo floor. Use code BREAKDOWN20 for 20% off the General Pass. Learn more and register at coindesk.com/ideas.-“The Breakdown” is written, produced by and features Nathaniel Whittemore aka NLW, with editing by Rob Mitchell and research by Scott Hill. Jared Schwartz is our executive producer and our theme music is “Countdown” by Neon Beach. Music behind our sponsors today is “The Now” by Aaron Sprinkle and “The Life We Had” by Moments. Image credit: aleksle/Getty Images, modified by CoinDesk. Join the discussion at discord.gg/VrKRrfKCz8.See Privacy Policy at https://art19.com/privacy and California Privacy Notice at https://art19.com/privacy#do-not-sell-my-info.

When there's talk of the risks stablecoins represent to the global financial system, Tether is usually the subject. And the largest stablecoin by market capitalization continues to generate questions about the reserves that support its U.S. dollar peg. However, according to a new report from the Federal Reserve Bank of New York, even USDC, a stablecoin backed by higher-grade assets (based on self-declarations), could, too, represent a systemic risk. At the top of today's edition of Real Vision Crypto Daily Briefing, Marco Olivera and Ash Bennington talk about why the New York Fed honed in on USDC. Ash and Marco also discuss a new report from the interagency Financial Stability Oversight Council that includes recommendations to the U.S. Congress on crypto regulation. And Morgan Creek Digital Managing Partner Mark Yusko joins our hosts for a broad and deep survey of the relationship between macro and crypto. Learn more about your ad choices. Visit megaphone.fm/adchoices

S&P Futures are traing higher this morning. Fears of a recession appear to be overdone. Multiple Federal Reserve members are scheduled to speak today and dovish comments are expected. Treasury Janet Yellen testifies to the SenatevCommittee on Financial Stability Oversight Council today. Markets are anticipating a positive CPI reading tomorrow, while an increase is expected, it will likely be significantly lower as compared to the March figure.

Anirudh Singh sits down with Amias Gerety, Partner at QED Investors. The two discuss the recent cryptocurrency executive order, QED's success over the past two years, investments into Tint, Atomic, and Ntropy, and much more. Amias Gerety: Amias joined QED as a Partner in 2017 focusing on supporting the portfolio and finding new investment opportunities with a focus on back office technologies and infrastructure companies. Amias brings a deep background in financial markets, compliance, and RegTech to the QED team. Most recently, Amias served as the President's nominee and as Acting Assistant Secretary for Financial Institutions at the U.S. Department of the Treasury. In that role, he was the lead advisor to the Secretary on policies affecting financial institutions. He also oversaw a number of programs focused on supporting small business lending and community development. He previously served as the Deputy Assistant Secretary for the Financial Stability Oversight Council, an interagency group of financial regulators charged with monitoring and mitigating potential threats to financial stability. Prior to Treasury, Amias was a management consultant at Oliver Wyman. He also served in a number of policy roles and worked in East Africa for Save the Children. Amias is a recipient of the Alexander Hamilton award, the Treasury's highest honor. Amias graduated Magna Cum Laude from Harvard with a BA in Social Studies. For more FinTech insights, follow us below: Medium: medium.com/wharton-fintech LinkedIn: www.linkedin.com/company/wharton-fintech-club/ WFT Twitter: twitter.com/whartonfintech Anirudh's Twitter: twitter.com/avsingh_24

The White House took a significant step towards regulating cryptocurrency on Wednesday, describing the move as "extremely positive," "long overdue," and a "acknowledgement that cryptocurrency is here to stay."  According to a White House fact sheet, President Joe Biden signed a new executive order on cryptocurrency, directing federal agencies to implement a strategy for policies and regulations on digital assets such as cryptocurrency.  "In the long run, this is extremely positive for the crypto market and is absolutely necessary to allow it to grow further, mature, and be more accessible to institutional investors," says Tal Elyashiv, founder of SPiCE VC, a blockchain and tokenization-focused venture capital fund.  According to experts, the order will help to pave the way for the regulatory clarity required for widespread institutional adoption of Bitcoin and other digital assets. As a result, long-term investors will benefit from greater stability in the notoriously volatile crypto market.  Biden's order also directs US agencies to ensure that the country's cryptocurrency laws are consistent with those of US allies, and the Financial Stability Oversight Council is tasked with investigating any illicit financial concerns. Furthermore, the order raises the prospect of a new government-issued central bank digital currency.  Six cryptocurrency experts were asked what they thought about Biden's executive order and what investors should make of it. They stated as follows:  Experts React to Vice President Biden's Crypto Executive Order 'A Positive Step'  Cleve Mesidor, public policy advisor at the Blockchain Association, provides his perspective.  "It's a step in the right direction that the White House is evaluating digital assets from the standpoint of innovation and competitiveness," said one commentator. According to data, working and middle-class Americans who have been locked out of the traditional financial system are leading the mainstream adoption of blockchain and cryptocurrency. As a result, we need this government strategy to prioritise greater federal investments in skill training and capital access to ensure that new female investors, Black and Latino entrepreneurs, startup founders, and small businesses in urban and rural communities are empowered to lead and thrive."  'Devises a Strategy'  Aaron Klein, senior fellow in economic studies at the Brookings Institution, provides his perspective.  "The executive order lays out a game plan for the administration to consider what to do with digital assets in a more holistic manner." While many parts of the government were already working on regulating aspects of cryptocurrency, the executive order brings it all together and sheds light on how the White House is approaching the issue. The Treasury Department's comments before the Financial Literacy and Education Commission the day before demonstrate the administration's commitment to increasing consumer understanding and, I suspect, eventually increasing regulation for consumer protection in cryptocurrency. "However, that takes time."  'An Acceptance That Cryptocurrency Is Here to Stay'  Charlene Fadirepo, crypto expert and founder of Guidefi, offers her perspective.  "I believe President Biden's executive order on digital assets represents a thoughtful and comprehensive national approach to cryptocurrency regulation," says one commentator. This order recognises that cryptocurrencies are here to stay. The emphasis on financial inclusion and increasing access to safe and affordable financial services encouraged me. "I hope that by addressing the millions of unbanked and underbanked families in this country, we can continue to support the high levels of cryptocurrency adoption among communities of colour."  'Long Overdue' is a phrase that describes a situation that has been long overdu  Tal Elyashiv, the founder of SPiCE VC, has expressed his opinion.  "It's long overdue, in my opinion." The United States is lagging behind the rest of the Western world in terms of developing a regulatory and legislative framework for blockchain in general, and cryptocurrency in particular. There has been significant interest in regulating the space from regulators such as the SEC, Treasury, and the Commodity Futures Trading Commission, but there has also been a lack of clarity and understanding about who has jurisdiction to regulate and how cryptocurrency should be treated. This action may put additional pressure on regulators to reach an agreement on a common approach and, at the very least, implement some regulatory framework."  'It's a Huge Relieve,' says the author.  Pat White, CEO of Bitwave, offers his thoughts.  "It's a huge relief that they're taking a more measured approach and are generally open to digital assets as the cornerstone of the future financial system, as opposed to the naive view that it's only something criminals use," says one. The executive order sparked a massive rally in cryptocurrency markets for a reason: regulatory clarity on digital assets would be extremely beneficial to the industry."  What Does the Executive Order Mean for Crypto Traders?  Biden's executive order serves as a timely reminder that U.S. policymakers are paying close attention to cryptocurrency and how it may affect financial markets in the future. However, it should not sway crypto investors' long-term investment strategies.  According to Elyashiv, the administration's move may cause some disruption and volatility in the cryptocurrency market in the short term. After the White House announced that Biden would sign an executive order on cryptocurrency, Bitcoin jumped 9 percent to above $40,000 per coin. The value of Ethereum increased immediately as well.  "Markets typically respond in this manner in the face of uncertainty about moves that may be fundamental to the market," Elyashiv explains.  The fundamentals of cryptocurrency investing, however, remain unchanged. Experts advise only investing what you're willing to lose, or no more than 5% of your total portfolio, and sticking to the most established cryptocurrencies, Bitcoin and Ethereum.  Prioritize important aspects of your finances, such as emergency savings, debt repayment, and retirement savings, over cryptocurrency investments. And, when it comes to purchasing and trading cryptocurrency, stick with a mainstream, high-volume cryptocurrency exchange, such as Coinbase or Gemini, that proactively complies with federal and state regulators.   Support us!

The United States Congress turned its attention to stablecoins this month, with senior Treasury official Nellie Liang fielding a range of questions during twin hearings in the House of Representatives and the Senate. The hearings centered on a recent report on stablecoins penned by members of the President's Working Group, which Liang oversaw. That report urged Congress to create "rules of the road" for stablecoin issuers, mainly by restricting stablecoin issuance to insured depository institutions (IDIs).  The Treasury has already designated stablecoins a "systemic risk" for the Financial Stability Oversight Council, meaning that if Congress fails to act, the council can step in. Liang told the House and the Senate that she believes in flexibility for any charter standards related to stablecoin issuers. In the meantime, proposals are beginning to float around the Hill.  During this month's Policy Scoop, The Block's Aislinn Keely sits down with The Block's senior policy reporter, Kollen Post. Post was in attendance for both hearings and has been on the ground tracking the stablecoin regulation landscape from report to proposals. ... For more visit theblockcrypto.com/podcasts Episode 12 of Season 4 of The Scoop was recorded remotely with The Block's Aislinn Keely and senior policy reporter Kollen Post. Listen below, and subscribe to The Scoop on Apple, Spotify, Google Podcasts, Stitcher or wherever you listen to podcasts. Email feedback and revision requests to podcast@theblockcrypto.com. This episode is brought to you by our sponsors Fireblocks, Coinbase Prime & Chainalysis Fireblocks is an enterprise-grade platform delivering a secure infrastructure for moving, storing, and issuing digital assets. Fireblocks enables exchanges, lending desks, custodians, banks, trading desks, and hedge funds to securely scale digital asset operations through the Fireblocks Network and MPC-based Wallet Infrastructure. Fireblocks serves over 725 financial institutions, has secured the transfer of over $1.5 trillion in digital assets, and has a unique insurance policy that covers assets in storage & transit. For more information, please visit www.fireblocks.com. About Coinbase Prime Coinbase Prime is an integrated solution that provides institutional investors with an advanced trading platform, secure custody, and prime services to manage all their crypto assets in one place. Coinbase Prime fully integrates crypto trading and custody on a single platform, and gives clients the best all-in pricing in their network using their proprietary Smart Order Router and algorithmic execution. For more information, visit www.coinbase.com/prime. About Chainalysis Chainalysis is the blockchain data platform. We provide data, software, services, and research to government agencies, exchanges, financial institutions, and insurance and cybersecurity companies in over 60 countries. Our data powers investigation, compliance, and market intelligence software that has been used to solve some of the world's most high-profile criminal cases and grow consumer access to cryptocurrency safely. Backed by Accel, Addition, Benchmark, Coatue, Paradigm, Ribbit, and other leading firms in venture capital, Chainalysis builds trust in blockchains to promote more financial freedom with less risk. For more information, visit www.chainalysis.com.

The Financial Stability Oversight Council (FSOC) reports on climate change as a risk to US financial stability.  Tune in for more details.

 Our guest this week is Rick Bookstaber. Rick is the head of risk of Fabric, a startup he founded to provide risk-management software to individual investors through the financial advisors who serve them. Prior to founding Fabric, Rick held a number of senior risk-management roles, most recently as chief risk officer at the University of California system, and before that at various hedge funds and banks, including Bridgewater, FrontPoint Partners, Morgan Stanley, and Salomon Brothers. He also served in the Obama administration, where his work included stints with the Financial Stability Oversight Council and at the SEC on the Volcker Rule and other regulations. Rick has authored several books, including A Demon of Our Own Design, which was published in 2007, as well as The End of Theory, which was published in 2017. Rick received his bachelor's in economics at Brigham Young University and earned a doctorate in economics from MIT.BackgroundBioFabricA Demon of Our Own Design: Markets, Hedge Funds, and the Perils of Financial Innovation, by Rick BookstaberThe End of Theory: Financial Crises, the Failure of Economics, and the Sweep of Human Interaction, by Rick BookstaberRisk Management Macro “7 Risks That Are Creating a New Market Paradigm,” by Rick Bookstaber, barrons.com, June 17, 2021.“Agent-Based Models for Financial Crises,” by Rick Bookstaber, bookstaber.com, Aug. 30, 2017.“Can Global Capitalism Survive in its Current Form?” by Rick Bookstaber, Age of Economics on youtube.com, March 6, 2021.“Bill Bernstein: We're Starting to See All of the Signs of a Bubble,” The Long View Podcast, Morningstar.com, March 10, 2021.“A More Realistic Look at Risk,” by Amanda White, top1000funds.com, Oct. 6, 2017. “Can High Liquidity + Low Volatility = High Risk?” by Rick Bookstaber, rick.bookstaber.com, Aug. 23, 2007.“Our Low Risk (Low Volatility) World,” by Rick Bookstaber, rick.bookstaber.com, Nov. 4, 2017.“Building Forward-Looking Scenarios: Why You're Doing It Wrong,” by Rick Bookstaber, Alicia Karspeck, and Govinda Quish, risk.net, Aug. 3, 2021.Investments“How to Make Risk Management Work for Advisers,” by Rick Bookstaber, investmentnews.com, June 24, 2021.Aladdin (BlackRock)“MSCI's Principles of Sustainable Investing,” msci.com.Organization and Culture“Adaptability Versus Optimization: The Cockroach Approach,” by Alex Barrow, macro-ops.com, Aug. 28, 2019.“Opinion: A Chief Risk Officer Offers the Simplest Way to Fight Back Against Stock-Market Memes,” by Rick Bookstaber, marketwatch.com, July 10, 2021.“This Is the Way Facebook Ends (and Maybe Apple and Google),” by Rick Bookstaber, rick.bookstaber.com, Jan. 28, 2018.“Facebook and the Awakening of our Private Selves,” by Rick Bookstaber, rick.bookstaber.com, April 1, 2018.

In this conversation, we talk all things Wall Street, FinTech, and Venture Capital with Patrick Pinschmidt, who's the general partner and co-founder at MiddleGame Ventures. More specifically, we discuss the ups and downs of sell-side research in the early 2000s, the evolution of financial technology to today's FinTech, an insight into the Financial Stability Oversight Council at the US Treasury Department, the founding of Middlegame Ventures and its impressive investment portfolio, and the transformation of financial services fueled by the rapid innovation in FinTech.

SEC identifies 2021 regulatory priorities. Financial Stability Oversight Council pushes for SOFR. House Judiciary Subcommittee proposes antitrust agenda for digital markets. NYDFS recommends SEC establish climate risk disclosure rules. ISDA issues consultation on fallbacks for LIBOR ICE swap rates. SEC appoints Director of Corporation Finance and General Counsel.

The Federal Reserve was originally set up to be America's development bank. But somehow along the way, it lost its course. Join us as we chat with Professor Bob Hockett about his ideas on returning the Fed to its roots so we can go back to investing in all of America.---Professor Hockett is the author of Financing the Green New Deal: A Plan of Action and Renewal and Money From Nothing: Or, Why We Should Stop Worrying About Debt and Learn to Love the Federal Reserve. He is the Edward Cornell Professor of Law at Cornell Law School, Professor of Public Affairs at Cornell University, and Regular Visiting Professor of Finance at Georgetown’s McDonough School of Business. He teaches, writes, publishes and advises in the fields of Enterprise-Organizational and Financial & Monetary Law and Economics, among other fields. He has advanced degrees in Law, Economics, Philosophy, and Finance. He is also Senior Counsel at Westwood Capital, a boutique investment bank in New York City and a Director of both the Public Banking Institute and the Digital Fiat Currency Institute. In the latter connection, his Inclusive Value Ledger (‘IVL’) proposal, which would institute a public digital payments platform and associated system of digital wallets and currency at any ‘level’ of government that adopted it, is under consideration by the New York State Senate and Assembly. And his Digital Greenbacks proposal, which would function as a Treasury-administered IVL at the national level, is under consideration in both Houses of the US Congress. Hockett has previously worked at the Federal Reserve Bank of New York and the International Monetary Fund (twice), clerked on the U.S. Court of Appeals for the Tenth Circuit, and is a Fellow of New Consensus and The Century Foundation and a Commissioned Author for the New America Foundation. He has also frequently consulted for and testified before the U.S. Congress (Senate Banking and House Financial Services in particular) and consulted for multiple government instrumentalities at the federal, state, and local levels, including the Fed, the Treasury, and the Financial Stability Oversight Council. Most recently he has helped draft multiple pieces of high-profile legislation for each of U.S. Senator Bernie Sanders, U.S. Senator Elizabeth Warren, and U.S. Representative Alexandria Ocasio-Cortez. In policy circles he is probably best known for helping develop the Green New Deal white paper and finance plan for Representative Ocasio-Cortez; the Public Housing Green New Deal Act for Representative Ocasio-Cortez and Senator Sanders; the Loan Shark Prevention Act for Senator Sanders and Representative Ocasio-Cortez; the Too Big to Fail, Too Big to Exist Act, the STOP Walmart Act, and the Corporate Democracy Plan for Senator Sanders; the Stop Excessive CEO Pay Act for Senator Sanders and Representatives Lee and Tlaib; the Accountable Capitalism Act for Senator Warren, and the eminent domain plan for underwater mortgages adopted by many U.S. cities after the financial crashes of 2008-09.

In today's Daily Download episode, HousingWire covers Treasury Secretary Steven Mnuchin's oversight panel endorses Federal Housing Finance Agency Director Mark Calabria's plan to re-privatize Fannie Mae and Freddie Mac.For some background on the story, here's a summary of the article:A year ago, Treasury Secretary Steven Mnuchin and Federal Housing Finance Agency Director Mark Calabria released the Trump administration's so-called blueprint to re-privatize mortgage giants Fannie Mae and Freddie Mac with the biggest stock offering in history.Calabria has stuck to the plan, even as a deadly pandemic swept across the nation, killing more than 200,000 Americans and sparking a recession that forced millions of borrowers to seek forbearance plans because they couldn't pay their bills. Last month, the FHFA endorsed an adverse-market fee that will aid in the “recap and release” of the government-sponsored enterprises at a cost of about $1,400 per refinanced loan, with the fee paid by borrowers.All of this was done without input from Congress, which chartered both companies decades ago in a bid to expand homeownership and has oversight of their activities.On Friday, the Financial Stability Oversight Council, which is chaired by Mnuchin, voted unanimously to endorse Calabria's plan to recapitalize and release the GSEs by executive action – with the caveat that even more capital may be required than the FHFA has called for – and after the vote Calabria made a statement commending FSOC members for their endorsement.Following the main story, HousingWire covers a report from the Mortgage Bankers Association that shows mortgage applications fell 4.8% last week, and discusses the finalization of two appraisal and capital liquidity rules initiated by the Board of Governors of the Federal Reserve System, the Federal Deposit Insurance Corporation and the Office of the Comptroller of the Currency.The Daily Download examines the most compelling articles reported from the HousingWire newsroom. Each afternoon, we provide our listeners with a deeper look into the stories coming across our newsroom that are helping Move Markets Forward. Hosted by the HW team and produced by Alcynna Lloyd and Victoria Wickham.HousingWire articles covered in this episode:Mnuchin's oversight panel endorses Calabria's GSE planMortgage applications decline 4.8%

-Trump promises bailouts for airline industry and cruise liners after payroll tax cut proposal yields short-lived stock market boost -No urgency for Financial Stability Oversight Council meeting despite underlying corporate credit problems -Federal government covering up coronavirus, ripping down sanitation posters in immigration courts -The CDC is a mess and for-profit healthcare vampires aren’t helping -Another fake accounts scandal: Fifth Third Bank accused of enabling systematic fraud through rotten incentives -Somebody think of the neverending war! Dems getting testy over Afghan troop withdrawal proposal Subscribe at Patreon.com/DistrictSentinel

Gregg Gelzinis is a policy analyst at the Center for American Progress where he focuses his work on financial institutions, financial markets, consumer finance policy, and financial regulation more broadly, and he joins the show today to talk about these issues. David and Gregg also discuss the Financial Stability Oversight Council’s (FSOC) inception, the tradeoffs between financial regulation and capital requirements, how the Fed could improve its stress testing.   Transcript for the episode: https://www.mercatus.org/bridge/podcasts/09232019/gregg-gelzinis-reforming-fsoc-and-how-limit-future-financial-crises   Gregg’s Twitter: @FinGregg Gregg’s Center for American Progress profile: https://www.americanprogress.org/about/staff/gelzinis-gregg/bio/   Related Links:   *Strengthening the Regulation and Oversight of Shadow Banks: Revitalizing the Financial Stability Oversight Council* by Gregg Gelzinis https://www.americanprogress.org/issues/economy/reports/2019/07/18/471564/strengthening-regulation-oversight-shadow-banks/   David’s blog: macromarketmusings.blogspot.com David’s Twitter: @DavidBeckworth

What role did the SEC play in the past decade shaping up new financial regulations in the aftermath of the crisis? Is the agency capable of reinventing itself for change? What is the future for SEC regulations for the financial markets and institutions? How can we encourage more IPOs in our public markets? ... In this episode, Mr. Norm Champ, former Director of Investment Management Division at SEC, discusses the inner workings of the SEC, the efficacy of financial regulations, the drawbacks of the Dodd-Frank Act, the importance of boosting the U.S. public markets, and his book "Going Public" among other topics. While at the SEC, Mr. Champ played a key role in the SEC’s completion of landmark reforms in 2014 to strengthen the $3 trillion money market fund industry, and led important structural and policy changes in the Division of Investment Management. He was the leader of interactions with the Financial Stability Oversight Council as the Council turned its attention to whether asset management firms are “systemically important.” He also worked on crisis management efforts at securities firms to protect customers of those firms. Mr. Champ also headed the creation of Guidance Updates and Senior Level Engagement initiatives, both of which were established to provide transparency to the industry about the priorities and goals of the SEC and to create a dialogue between policymakers and the senior management of asset management firms. Mr. Champ's book "Going Public," which talks about his experiences at the SEC, is available on Amazon. For more information, please visit www.goingpublicthebook.com.

At first the Financial Stability Oversight Council wanted to target individual nonbanks that pose a risk to the economy. Now it wants to target activities rather than firms. Is that a good idea or a political ploy?

Justice Scalia put it bluntly in Morrison v. Olson: “There are now no lines.” Morrison, 478 at 726 (Scalia, J., dissenting). This is, perhaps, an unsurprising observation, considering the majority in Humphrey's Executor v. United States recognized that, “between the decision in the Myers v. United States case, which sustains the unrestrictable power of the President to remove purely executive officers, and our present decision that such power does not extend to an office such as that here involved, there shall remain a field of doubt." Humphrey's Ex'r, 295 U.S. at 632. How do courts navigate this field? In Humphrey's Executor, for-cause removal was approved as applied to the five-member FTC, which exercises powers the Court described as "neither political nor executive, but predominantly quasi-judicial and quasi-legislative." Id. at 624. In Morrison, the Court approved for-cause removal—by the Attorney General—as applied to an independent counsel. In so doing, it walked back its emphasis on the character of an agency's or officer's functions and expressly noted there was "no real dispute that the functions performed by the independent counsel [were] 'executive.'" Morrison, 487 at 691. But "the real question," the Court reasoned, "is whether . . . removal restrictions are of such a nature that they impede the President's ability to perform his constitutional duty" to take care that the laws be faithfully executed. Id. Then, in Free Enterprise Fund v. PCAOB, the Court invalidated a two-layer system of for-cause removal that over-insulated PCAOB members. Free Enter. Fund, 561 U.S. at 495–508. Combining the lessons of Humphrey's Executor and Morrison, the problem was that the act in question "grant[ed] the Board executive power without the Executive's oversight, [thereby] subvert[ing] the President's ability to ensure that the laws are faithfully executed." Id. at 498.While Myers and Free Enterprise teach that limits do exist on Congress's ability to isolate executive functions from executive oversight, a clear articulation of those limits has so far eluded the Court's jurisprudence in this area. And with an active Special Counsel and several recent lawsuits challenging the structural design of various independent agencies, the question remains: how independent is too independent? Is there any unifying principle for lower courts to apply? Does the character of an agency's/officer's functions matter? May an agency's director be removable only for cause if it is a single director? The D.C. Circuit said yes to the latter while sitting en banc in PHH Corp. v. Consumer Financial Protection Bureau, but what if there were no Financial Stability Oversight Council with veto power over the CFPB's policies? Or, what if there is such a veto-wielding council but the agency is not subject to funding via the normal budgeting process over which the President holds veto power?Different agencies are structured differently, so certainly we are stuck with an ad hoc inquiry. But how is a judge to know when Congress has placed one straw too many on the camel's back?Prof. William W. Buzbee, Professor of Law, Georgetown University Law CenterProf. John Eastman, Henry Salvatori Professor of Law & Community Service and former Dean, Chapman University's Fowler School of Law; Senior Fellow, Claremont InstituteHon. Henry Kerner, Special Counsel, Office of the Special CounselProf. Jennifer Mascott, Assistant Professor, Antonin Scalia Law School, George Mason UniversityModerator: Hon. Diane Sykes, United States Court of Appeals, Seventh Circuit

Justice Scalia put it bluntly in Morrison v. Olson: “There are now no lines.” Morrison, 478 at 726 (Scalia, J., dissenting). This is, perhaps, an unsurprising observation, considering the majority in Humphrey's Executor v. United States recognized that, “between the decision in the Myers v. United States case, which sustains the unrestrictable power of the President to remove purely executive officers, and our present decision that such power does not extend to an office such as that here involved, there shall remain a field of doubt." Humphrey's Ex'r, 295 U.S. at 632. How do courts navigate this field? In Humphrey's Executor, for-cause removal was approved as applied to the five-member FTC, which exercises powers the Court described as "neither political nor executive, but predominantly quasi-judicial and quasi-legislative." Id. at 624. In Morrison, the Court approved for-cause removal—by the Attorney General—as applied to an independent counsel. In so doing, it walked back its emphasis on the character of an agency's or officer's functions and expressly noted there was "no real dispute that the functions performed by the independent counsel [were] 'executive.'" Morrison, 487 at 691. But "the real question," the Court reasoned, "is whether . . . removal restrictions are of such a nature that they impede the President's ability to perform his constitutional duty" to take care that the laws be faithfully executed. Id. Then, in Free Enterprise Fund v. PCAOB, the Court invalidated a two-layer system of for-cause removal that over-insulated PCAOB members. Free Enter. Fund, 561 U.S. at 495–508. Combining the lessons of Humphrey's Executor and Morrison, the problem was that the act in question "grant[ed] the Board executive power without the Executive's oversight, [thereby] subvert[ing] the President's ability to ensure that the laws are faithfully executed." Id. at 498.While Myers and Free Enterprise teach that limits do exist on Congress's ability to isolate executive functions from executive oversight, a clear articulation of those limits has so far eluded the Court's jurisprudence in this area. And with an active Special Counsel and several recent lawsuits challenging the structural design of various independent agencies, the question remains: how independent is too independent? Is there any unifying principle for lower courts to apply? Does the character of an agency's/officer's functions matter? May an agency's director be removable only for cause if it is a single director? The D.C. Circuit said yes to the latter while sitting en banc in PHH Corp. v. Consumer Financial Protection Bureau, but what if there were no Financial Stability Oversight Council with veto power over the CFPB's policies? Or, what if there is such a veto-wielding council but the agency is not subject to funding via the normal budgeting process over which the President holds veto power?Different agencies are structured differently, so certainly we are stuck with an ad hoc inquiry. But how is a judge to know when Congress has placed one straw too many on the camel's back?Prof. William W. Buzbee, Professor of Law, Georgetown University Law CenterProf. John Eastman, Henry Salvatori Professor of Law & Community Service and former Dean, Chapman University's Fowler School of Law; Senior Fellow, Claremont InstituteHon. Henry Kerner, Special Counsel, Office of the Special CounselProf. Jennifer Mascott, Assistant Professor, Antonin Scalia Law School, George Mason UniversityModerator: Hon. Diane Sykes, United States Court of Appeals, Seventh Circuit

Slate Money on the death of Sears, the Robinhood high frequency trading scandal, and the retreat of the Financial Stability Oversight Council on this week's episode with Felix Salmon, Anna Szymanski, and Emily Peck. In the Slate Plus segment, Felix, Anna, and Emily discuss the plethora of bad Facebook PR. Email: slatemoney@slate.comTwitter:@felixsalmon, @Three_Guineas, @EmilyRPeck Production by Max Jacobs. Listen to Slate Money via Apple Podcasts, Overcast, Spotify, Stitcher, or Google Play. Learn more about your ad choices. Visit megaphone.fm/adchoices

Slate Money on the death of Sears, the Robinhood high frequency trading scandal, and the retreat of the Financial Stability Oversight Council on this week's episode with Felix Salmon, Anna Szymanski, and Emily Peck. In the Slate Plus segment, Felix, Anna, and Emily discuss the plethora of bad Facebook PR. Email: slatemoney@slate.comTwitter:@felixsalmon, @Three_Guineas, @EmilyRPeck Production by Max Jacobs. Listen to Slate Money via Apple Podcasts, Overcast, Spotify, Stitcher, or Google Play. Learn more about your ad choices. Visit megaphone.fm/adchoices

Norm Champ is a partner in the New York office of Kirkland & Ellis LLP. Norm is a member of the Investment Funds Group. Previously, Norm was the director of the Division of Investment Management at the U.S. Securities and Exchange Commission (SEC).  While at the SEC, Norm played a key role in the SEC’s completion of landmark reforms in 2014 to strengthen the $3 trillion money market fund industry, and led important structural and policy changes in the Division of Investment Management. He was the leader of interactions with the Financial Stability Oversight Council as the Council turned its attention to whether asset management firms are “systemically important.” He also worked on crisis management efforts at securities firms to protect customers of those firms. Norm also headed the creation of Guidance Updates and Senior Level Engagement initiatives, both of which were established to provide transparency to the industry about the priorities and goals of the SEC and to create a dialogue between policymakers and the senior management of asset management firms. Norm’s book, Going Public, about his experiences at the SEC is available on Amazon. For more information on Going Public, visit goingpublicthebook.com Prior to becoming the Director of the Division of Investment Management, he was the Deputy Director of the SEC’s Office of Compliance, Inspections and Examinations (OCIE) and the Associate Regional Director for Examinations in the SEC’s New York Regional Office. In these capacities he supervised SEC examinations of investment advisors, investment companies, broker-dealers, national securities exchanges, credit rating agencies, clearing firms and other market participants.

Norm Champ is a partner in the New York office of Kirkland & Ellis LLP. Norm is a member of the Investment Funds Group. Previously, Norm was the director of the Division of Investment Management at the U.S. Securities and Exchange Commission (SEC).  While at the SEC, Norm played a key role in the SEC's completion of landmark reforms in 2014 to strengthen the $3 trillion money market fund industry, and led important structural and policy changes in the Division of Investment Management. He was the leader of interactions with the Financial Stability Oversight Council as the Council turned its attention to whether asset management firms are “systemically important.” He also worked on crisis management efforts at securities firms to protect customers of those firms. Norm also headed the creation of Guidance Updates and Senior Level Engagement initiatives, both of which were established to provide transparency to the industry about the priorities and goals of the SEC and to create a dialogue between policymakers and the senior management of asset management firms. Norm's book, Going Public, about his experiences at the SEC is available on Amazon. For more information on Going Public, visit goingpublicthebook.com Prior to becoming the Director of the Division of Investment Management, he was the Deputy Director of the SEC's Office of Compliance, Inspections and Examinations (OCIE) and the Associate Regional Director for Examinations in the SEC's New York Regional Office. In these capacities he supervised SEC examinations of investment advisors, investment companies, broker-dealers, national securities exchanges, credit rating agencies, clearing firms and other market participants.

(Bloomberg) -- Robert Hockett, a professor at Cornell University Law School, discusses Friday's announcement by the Financial Stability Oversight Council cancelling AIG’s designation as a systemically important financial institution, allowing the New York-based insurer to emerge from tight federal oversight. He speaks with Bloomberg's Michael Best and June Grasso on Bloomberg Radio's Bloomberg Law.

(Bloomberg) -- Robert Hockett, a professor at Cornell University Law School, discusses Friday's announcement by the Financial Stability Oversight Council cancelling AIG's designation as a systemically important financial institution, allowing the New York-based insurer to emerge from tight federal oversight. He speaks with Bloomberg's Michael Best and June Grasso on Bloomberg Radio's Bloomberg Law. Learn more about your ad-choices at https://www.iheartpodcastnetwork.com

The Trump administration is proposing to revise and change banking regulations that were put in place after the financial crisis. On Monday, the Treasury Department released a report outlining it's plans to do so. This comes after House Republicans last week passed a bill — the Financial CHOICE Act — that would roll back regulations even further. The bill, which was introduced by the Representative Jeb Hensarling of Texas, would weaken the Consumer Financial Protection Bureau and the Financial Stability Oversight Council and gut the Dodd-Frank financial reform law passed in the aftermath of the financial crash. The bill is headed to the Senate for consideration. This week on Money Talking, host Charlie Herman talks with Rana Foroohar from the Financial Times and Sheelah Kolhatkar from the New Yorker about the President's plans and the House bill, and what these changes could mean for the economy and consumers' pocketbooks?

Know-How – Cyber Security from a Regulators Perspective. Adam Hamm is Past President of the NAIC, and is now chair of the Cybersecurity Task Force. He was selected by his fellow insurance commissioners to serve on the U.S. Financial Stability Oversight Council. FSOC is a fifteen member body comprised of the nation’s chief financial regulators, including U.S. […]

Know-How – Cyber Security from a Regulators Perspective. Adam Hamm is Past President of the NAIC, and is now chair of the Cybersecurity Task Force. He was selected by his fellow insurance commissioners to serve on the U.S. Financial Stability Oversight Council. FSOC is a fifteen member body comprised of the nation’s chief financial regulators, including U.S....

Vantage Point – North Dakota Commissioner of Insurance. Adam Hamm is Past President of the NAIC, and is now chair it’s Cybersecurity Task Force. He was selected by his fellow insurance commissioners to serve on the U.S. Financial Stability Oversight Council. FSOC is a fifteen member body comprised of the nation’s chief financial regulators, including U.S....

Vantage Point – North Dakota Commissioner of Insurance. Adam Hamm is Past President of the NAIC, and is now chair it’s Cybersecurity Task Force. He was selected by his fellow insurance commissioners to serve on the U.S. Financial Stability Oversight Council. FSOC is a fifteen member body comprised of the nation’s chief financial regulators, including U.S. […]

After talking about human failures and foibles in the last lecture, this lecture is concerned with regulation to minimize the impact of human errors. Professor Shiller outlines five different levels of regulation: Regulation on the firm level, on the level of trade groups, on the regional, the national, and the international level. Concerning the first level, he emphasizes the role of the board of directors as the regulators of a company, its duties of care and loyalty, and its responsibilities in the face of tunneling. On the level of trade groups, Professor Shiller presents the history of the New York Stock Exchange from the signing of the Buttonwood Agreement until today. The subsequent description of regional regulation centers on Blue Sky laws during the progressive era of the U.S. in the late 19th and early 20th century. On the national level of regulation, he covers the founding days of the Securities and Exchange Commission, its regulation of hedge funds, as well as its efforts against the trading of insider information and stock price manipulation. He complements his coverage of national regulation with the regulatory efforts in the aftermath of the financial crisis from 2007-2008, i.e. the creation of the Financial Stability Oversight Council and of the Consumer Financial Protection Bureau by the Dodd-Frank Act from 2010, paired with the European efforts in the course of the European Supervisory Framework, also from 2010. With respect to the fifth and final level of regulation - international regulation - Professor Shiller talks about the Basel Committee on Banking Supervisionand the G-20. Complete course materials are available at the Open Yale Courses website: http://oyc.yale.edu This course was recorded in Spring 2011.