The latest report by the US Treasury Department outlining
recommended reform to the Financial Stability Oversight Council
(FSOC) and designations for systemically important financial
institutions (Sifi), has been heralded as a welcome evolution
by the wealth and asset management industries.
In Friday’s report, Treasury Secretary Steven
Mnuchin’s recommended changes to the council and
its stipulations in response to President Trump’s
request for a thorough review of the determination and
designation processes of FSOC, which was introduced as part of
Dodd-Frank in 2010.
"For the asset management
industry, these recommendations are certainly a step in
the right direction"
Treasury’s last report on asset management
released late last month set the stage for the FSOC report,
and, according to David Tittsworth, counsel at Ropes and Gray "these recommendations are
certainly a step in the right direction for the asset
Suggestions include endorsing involvement by a