GAO recapped its "priority open recommendations" for the Federal Reserve Board. Highlighted recommendations concern FinTech, the Bank Secrecy Act and stress testing.
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The CFTC Office of the Inspector General expressed "disappoint[ment]" with the CFTC's lack of progress in addressing whistleblower allegations of mismanagement in the Risk Surveillance Branch of the CFTC Division of Clearing and Risk.
The CFTC Office of Inspector General ("OIG") alleged that the CFTC's stress-testing capabilities for testing margin models associated with uncleared swaps have been undermined by "a failure of leadership, poor decision-making, and territoriality" in the Risk Surveillance Branch of the Division of Clearing and Risk. The report by the OIG resulted from allegations of mismanagement conveyed to it "by multiple CFTC whistleblowers." The allegations, which appear in the OIG's Semiannual Report issued on December 14, 2018, and which refer to a report by the same office issued earlier in the year
The Office of Financial Research academics analyzed the effects of "procyclical" central counterparty margin requirements.
CFTC Commissioner Sharon Y. Bowen identified "four disruptive elements" that are "substantially responsible" for recent regulatory activity: technology, demographics, economics and a lack of trust in our institutions.