2023-08-23T10:19:39-04:00August 22nd, 2023|2- Daily Briefing|

Waters Presses GAO to Study AI Mortgage Lending Discrimination

Reflecting ongoing concerns at the CFPB and the IMF when it comes to generative AI (see earlier today), HFSC Ranking Member Waters (D-CA) today sent a letter requesting that the GAO study the extent to which AI and especially AVMs may lead to housing discrimination.

IMF Spots Systemic Macro Risk as Gen-AI Advances

A new IMF Fintech Note concludes that generative AI (GenAI) may heighten risk, undermine institutional trust, and accelerate procyclicality.  It thus advises policymakers to ensure close human GenAI supervision as regulatory frameworks take shape, pressing also that this be done in conjunction with strengthened regulation and effective monitoring.

FRB-NY Staff: SEC Proposals May Not Prevent MMF, OEF Run Risk

A New York Fed blog post yesterday concluded that, while the SEC’s recent MMF liquidity reforms (see FSM Report MMF20) and proposed OEF rules make significant progress ensuring resilience, open- and closed-end funds may nonetheless remain vulnerable.