A systemic risk regulator will examine all systemically important financial institutions, and scrutinize any activity that may have wide-reaching effects on the whole market, and intervene to contain risks that threaten the broader system. This regulator should participate in an internationally coordinated effort to improve the current system’s regulations, promoting the system’s ability to provide healthy lines of credit to global markets.

One of the biggest gaps exposed in the U.S. regulatory system during the financial crisis was the lack of a federal resolution authority to reliably wind down failing institutions. That’s why SIFMA supports the creation of a comprehensive resolution authority that can wind down any failing, systemically important financial institution in a way that preserves financial market stability.

SIFMA is currently conducting additional analysis of proposed policy measures prior to determining the appropriate public comment.