Given the systemic nature and scale of the financial crisis, and in consideration of the poor ongoing economic conditions, it’s clear that the industry, political process, and regulators have all fallen short of achieving the individual mission of each, particularly in consideration of current technological capabilities.

For the past several months financial institutions have been trying to convince regulators that they should not be labeled a Systemically Important Financial Institution (SIFI). The process of implementing the 2010 Dodd-Frank law in the U.S. has resulted in spin offs in an attempt to avoid increased U.S. regulation, while the new global rules for multi-national banks on top of Basel III, including surcharges and increased capital ratios, is resulting in a comprehensive rethink of the fundamental assumptions surrounding the global banking model. Read More