Below is the opening of our monthly newsletter. View the full newsletter online here.
A year ago this month, Silicon Valley Bank failed and shortly after, Signature Bank and First Republic Bank followed, causing a banking crisis. These were three of the four largest bank failures in U.S. history and they are going to cost American taxpayers about $40 billion in bailouts. Long before March 2023, we were sounding the alarm and flagging the risks that led to the crisis, especially the need for more capital.
This month, we put out a report detailing the ongoing threats to the financial system and Main Street, and provided a roadmap for necessary changes that will help prevent another crisis. These recommendations include improving and strengthening capital rules, increasing and enhancing resolution planning, adopting improved and enforceable corporate governance and risk management guidelines, holding bank executives accountable, and more. These changes are necessary to prevent another financial crash that could cost Main Street Americans their jobs and livelihoods
The 2023 banking crisis was a stark reminder of the importance of our work, and the urgency to reform Wall Street and protect Main Street. In this month’s newsletter, you’ll see how that work extends to pushing regulators to effectively punish financial criminals and fighting against relatively new threats, including industry resistance to climate disclosure, the increasing prominence of gamification, and the challenges involving the use of AI in finance.
We appreciate the support of our generous partners who allow us to push back against these threats to our economy and to provide a vision for an economy that works for all Americans. We’d be grateful if you’d join them and support us too, which you can do here.
Dennis
Dennis Kelleher
Co-Founder, President & CEO
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