| Financial Stability Oversight Council | |
|---|---|
| File:FSOC Meeting.jpg | |
| 3rd FSOC Meeting (January 18, 2011) | |
| Agency overview | |
| Formed | July 21, 2011 |
| Jurisdiction | United States Government |
| Website | |
| Script error: No such module "URL". | |
The Financial Stability Oversight Council (FSOC) is a United States federal government organization, established by Title I of the Dodd–Frank Wall Street Reform and Consumer Protection Act, which was signed into law by President Barack Obama on July 21, 2010.[1] The Dodd-Frank Act provides the Council with broad authorities to identify and monitor excessive risks to the U.S. financial system arising from the distress or failure of large, interconnected bank holding companies or non-bank financial companies, or from risks that could arise outside the financial system; to eliminate expectations that any American financial firm is "too big to fail"; and to respond to emerging threats to U.S. financial stability. The Act also designates the Secretary of the Treasury as Chairperson. Inherent to the FSOC's role as a consultative council is facilitation of communication among financial regulators. The FSOC has the authority to set aside certain financial regulations published by the Consumer Financial Protection Bureau if those rules would threaten financial stability.
Organization[]
Voting Members[]
The Financial Stability Oversight Council has ten voting members:[2]
- Secretary of the Treasury (chairs the Council)
- Chairman of the Federal Reserve
- Comptroller of the Currency
- Director of the Consumer Financial Protection Bureau
- Chairperson of the U.S. Securities and Exchange Commission
- Chairperson of the Federal Deposit Insurance Corporation
- Chairperson of the Commodity Futures Trading Commission
- Director of the Federal Housing Finance Agency
- the Chairman of the National Credit Union Administration Board
- an independent member (with insurance expertise), appointed by the President
Current Voters[]
| Agency | Currently | Party | Appointed | Removable | Notes |
|---|---|---|---|---|---|
| Treasury | Jack Lew | Dem | Directly | Any time | |
| SEC | Mary Jo White | Dem | From 5 Commissioners | Any time (as Chairman) | Nominated |
| CFTC | Gary Gensler | Dem | From 5 Commissioners | Any time (as Chairman) | |
| Fed | Ben Bernanke | Rep | Directly | After 4 year term | |
| OCC | Thomas J. Curry | Dem | Directly | After 5 year term | |
| CFPB | Richard Cordray | Dem | Directly | After 5 years | Renominated |
| FDIC | Martin Gruenberg | Dem | From 3 Board Members | After 5 year term | Acting |
| FHFA | Edward DeMarco | Rep | Directly | After 5 year term | Acting |
| NCUA | Debbie Matz | Dem | Directly | After 6 year term | |
| Insurance | S. Roy Woodall, Jr. | Dem | Directly | After 6 year term |
Non-voting Members[]
There are five non-voting members:
- Director of the Office of Financial Research (part of the Treasury Department and established by the Dodd-Frank Act)
- Director of the Federal Insurance Office (part of the Treasury Department and established in this Act)
- a state insurance commissioner, to be designated by a selection process determined by the state insurance commissioners (2-year term)
- a state banking supervisor, to be designated by a selection process determined by the state banking supervisors (2-year term)
- a state securities commissioner (or officer performing like function) to be designated by a selection process determined by such state security commissioners (2-year term)
Other names[]
There is a possibility of name confusion as recent news articles [4][5][6] have referred to this entity as the U.S. Financial Risk Council.
See also[]
- Office of Financial Research
- Systemic risk
- Dodd-Frank Wall Street Reform and Consumer Protection Act
- Federal Financial Institutions Examination Council
- Volcker Rule
Authorities[]
| File:Wiki letter w.svg | This section is empty. You can help by adding to it. (February 2013) |
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Activities[]
On July 26, 2011, the First Annual Financial Stability Oversight Council Report [7] was issued by the Council fulfilling the Congressional mandate to report on the activities of the Council. The Report is intended to describe significant financial market and regulatory developments, analyze potential emerging threats, and make certain recommendations. The July 26, 2011 report warned that the United States faces potential losses connected with the European debt crisis.[8]
References[]
- ↑ Script error: No such module "citation/CS1".
- ↑ H.R. 4173, § 111
- ↑ http://www.naic.org/index_financial_reform_fsoc.htm
- ↑ http://www.cnbc.com/id/100875565
- ↑ http://www.reuters.com/article/2013/07/09/financial-regulation-fsoc-idUSN9N0AR00720130709
- ↑ http://www.reuters.com/article/2013/07/09/financial-regulation-fsoc-idUSL1N0FF1VW20130709
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