FSOC – Bubbles And Meltdowns: Thought You Were Safe?

Last week the Government Accountability Office (GAO) took aim at the Financial Stability Oversight Council (FSOC), the regulatory watchdog assigned to keep a vigil over our markets for their safety, in a report that examines the status of efforts by the FSOC to improve transparency, accountability and collaboration. “FSOC still lacks a comprehensive, systematic approach to identify emerging threats to financial stability,” said the GAO. “OFR’s continued work to develop indicator-driven tools to assess risks to the financial system is encouraging, but without a more systematic approach and comprehensive information, FSOC cannot be assured that it is fully informed about critical vulnerabilities in the financial system,” added the GAO, referring to data-driven tools it had recommended for adoption...