Systemic-Risk

SEC Creates Consolidated Supervised Entities Program Allowing Unlimited Investment Bank Leverage

2004-04-28 00:00:00 +0000 UTC | Importance: 9/10

The SEC establishes the Consolidated Supervised Entities (CSE) program under Chair William Donaldson, eliminating the 12-to-1 leverage limit that had constrained broker-dealers and investment banks since 1975. The program allows firms with over $15 billion in assets—Bear Stearns, Lehman Brothers, …

SEC William Donaldson Bear Stearns Lehman Brothers Merrill Lynch +3 more sec-deregulation investment-bank-leverage cse-program systemic-risk self-regulation +1 more

Fannie Mae Eases Credit Requirements Under HUD Affordable Housing Pressure

1999-09-01 00:00:00 +0000 UTC | Importance: 8/10

Fannie Mae significantly relaxes credit requirements to meet HUD-mandated affordable housing goals, encouraging banks to extend loans to borrowers with credit scores below conventional standards. This government-sponsored enterprise policy change, coordinated with banking industry lobbying, …

Fannie Mae Franklin Raines HUD Andrew Cuomo Mortgage Bankers Association +1 more fannie-mae subprime-expansion credit-standards affordable-housing gse-capture +1 more

Brooksley Born's Derivatives Regulation Warning Systematically Suppressed

1998-05-07 00:00:00 +0000 UTC | Importance: 10/10

CFTC Chair Brooksley Born issued a concept release seeking public comment on regulating the $29 trillion over-the-counter derivatives market, warning of systemic risks from unregulated trading. Within hours, Treasury Secretary Robert Rubin, Federal Reserve Chairman Alan Greenspan, and SEC Chairman …

Brooksley Born Robert Rubin Lawrence Summers Alan Greenspan Arthur Levitt derivatives cftc regulatory-capture financial-crisis systemic-risk +2 more