The Vault

In this report, we build on our assessment earlier today of the Fed’s SVB autopsy (see Client Report REFORM221) with an assessment of the FDIC’s self-review of Signature’s failure.  As noted on Friday, the FDIC confines this report to Signature’s supervision; a separate report will address policy recommendations.  Although the analysis has some findings in common with the Fed’s SVB assessment with regard to matters such as supervisors’ failure to keep up with a fast-growing bank, the FDIC principally focuses on key risk indicators at the bank rather than supervisory shortcomings.

The full report is available to retainer clients. To find out how you can sign up for the service, click here and here.…

In this and subsequent reports, we build on our initial reactions to SVB/SBNY reports from the Fed, FDIC, and GAO, focusing in more depth on the agencies’ plans for near-term action with strategic consequence and key points in the GAO’s report that will strongly influence Hill reactions on both sides of the aisle.  Informed by today’s rescue of First Republic – on which more is to come from us shortly – FedFin starts here with the Fed, not going into detail on the results of its extensive fact-finding unless new facts are likely to influence near-term policy and political response.  As previously noted, the Fed’s report acknowledges serious supervisory shortcomings, with the detailed analysis concluding that the “root cause” of this is “difficult to ascertain, especially given the impact of the pandemic on remote supervision in 2020 and 2021.”

The full report is available to retainer clients. To find out how you can sign up for the service, click here and here.…

FHFA yesterday proposed a sweeping rule that would codify Sandra Thompson’s equitable- and fair-housing standards in a rule that any future FHFA director would have to work a lot harder to reverse. Indeed, not only would new plans become a mandatory part of the GSEs’ mission, but violations of them by Fannie or Freddie or any other fair-lending, equity, or related standard by all of the housing agencies could be sanctioned as unfair or deceptive acts or practices (UDAP), a page from the CFPB’s rulebook that affords a far greater scope to call an action discrimination and then punish it at even greater legal and reputational cost. Even if spared new plans – and that’s a big if – Home Loan Banks would also be brought into a far more exacting equity construct far beyond current adherence to statutory AHP requirements….

The full report is available to subscription clients. To find out how you can sign up for the service, click here.…

Research Associate: We are looking for a detail-oriented self-starter for our bank regulatory and legislative analytical services.  Candidates should be able to utilize quantitative and qualitative research methods and analytical skills to assist senior staff in preparing both high-level and in-depth reports assessing regulatory, legislative, and political developments across a wide range of banking and financial services issues.  A college degree is a must, and candidates must have excellent writing and analytical skills as well as the ability to work in a fast-paced environment.

Responsibilities

• Track financial services policy developments in Congress and at relevant Federal regulatory agencies
• Assist in preparation of client-facing analyses, reports, and papers assessing regulatory and legislative developments and associated impacts
• Monitor Congressional hearings and Agency meetings and prepare reports summarizing these
• Gather accurate, credible information and analyze data from public sources
• Conduct literature/document reviews and present findings to senior staff
• Assist in preparation of Managing Partner’s articles and op-eds published in major outlets (e.g., New York Times, Wall Street Journal, Financial Times, Bloomberg)
• Perform other duties as assigned

Requirements

• Bachelor’s degree in a relevant field of study (e.g., finance, economics, political science)
• Excellent writing and communications skills
• Advanced qualitative and quantitative data analysis abilities
• Ability to perform under pressure, meet time-sensitive deadlines, prioritize, and multi-task
• Excellent time management skills
• Knowledge of Congressional/regulatory processes and procedure
• Strong research skills and attention to detail
• Proficiency with Microsoft Office products, particularly Word, Excel, and Outlook
• Previous Capitol Hill, banking agency, or similar experience preferred

Benefits:…