The Dodd-Frank Act requires FSOC to submit a report to Congress regarding a study on the feasibility, benefits, costs, and structure of a contingent capital requirement for nonbank financial companies supervised by the Federal Reserve Board and for large, interconnected bank holding companies (BHCs). This report addresses statutory mandates for the study through a review of the types and structures of contingent capital instruments and consideration of the potential benefits from and drawbacks of the use of contingent capital, including its potential to enhance the safety and soundness of

The FSOC Annual Report makes for a pretty good read, or at least skim for those topics relevant to the reader. The report covers a broad range of topics from implementation of regulation to potential new regulation, to areas of economic concern both in the United States and internationally. The heart of the report is Section 3, which contain's FSOC's annual recommendations. The recommendations relate to matter such as (i) money market mutual funds (which are reported to a hot political topic at the SEC), (ii) tri-party repo (a related item was in yesterday's news), and (iii) clearing house

The SEC charged Manouchehr Moshayedi, chairman and CEO of STEC Inc. with insider trading in a secondary offering of his stock shares with knowledge of confidential information that a major customer's demand for one of its most profitable products was turning out to be less than expected. Moshayedi engaged in a fraudulent scheme to hide the truth about detrimental information that was at the time unbeknownst to the investing public, and proceeded with the sale of 9 million shares of STEC, from which he and his brother reaped gross proceeds of approximately $134 million each. View release in

This interesting report addresses (1) the extent to which information currently provided on municipal securities is useful for investors and the extent to which existing regulations reflect principles for effective disclosure, and (2) options for improving the information issuers disclose to investors of municipal securities. The report both identifies weaknesses in the system of disclosure applicable to municipal entities and the difficulty of correcting these weaknesses; e.g., (i) can municipal issuers (many of which are small and financially strained) afford to keep current with good

With foreclosures rising, reports surfaced of instances in which financial institutions failed to comply with SCRA. the GAO examined the (1) eligibility for SCRA protections and extent of SCRA mortgage-related violations by depository institutions, (2) SCRA compliance oversight by prudential regulators and other federal agencies, and (3) the military services’ efforts to educate servicemembers on SCRA. The GAO collected data on populations eligible for SCRA from DOD and SCRA violations from banking and law enforcement agencies and reviewed a stratified random sample of prudential regulators’