FDIC Chair Urges Continued Vigilance In Resolution Planning

FDIC Chair Martin Gruenberg described progress in the resolution-planning process for systemically important financial institutions ("SIFIs"). In a speech at the Wharton School University of Pennsylvania, he said more work needs to be done before a comprehensive framework for systemic resolution is in place.

Mr. Gruenberg explained that the process for firms to develop and submit resolution plans (i.e., living wills) has undergone substantial changes since its inception in 2010. He described living wills in detail, and noted the benefits of multiple banking agencies working together to increase resolution issues. Mr. Gruenberg said that industry reciprocity was instrumental in the...