Fed admits fault in Silicon Valley Bank collapse, promises stronger oversight
TL;DR
The Federal Reserve has released a report on its oversight of Silicon Valley Bank, which collapsed last month, blaming the bank's leadership and its own overly cautious approach to supervision. The report also criticized directives from Randal Quarles, the Trump-appointed official who served as vice chair for supervision until late 2021, and the implementation of a bipartisan bank deregulation law passed by Congress in 2018. The findings are likely to lead to tougher rules on regional banks in particular, and Fed Chair Jerome Powell made clear he is backing efforts by regulatory chief Michael Barr to improve bank supervision.
Topics:businessfinance#bank-failure#bank-regulation#bank-supervision#federal-reserve#finance#silicon-valley-bank
- Fed blames Trump-era policies, SVB leaders — and itself — for bank's stunning collapse POLITICO
- Fed report on Silicon Valley Bank collapse blames mismanagement, weak government oversight Fox Business
- Fed: Silicon Valley Bank failed to manage basic interest rate, liquidity risk CNBC Television
- Fed Slams Its Own Oversight of Silicon Valley Bank in Post-Mortem The New York Times
- Fed vows tougher oversight as SVB fallout hits First Republic Reuters
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