Conference on Resolution Authority and Structural Reform
Thursday, April 11, 2013
NYU Stern School of Business
This conference is about two important, world-wide initiatives in banking regulation since the financial crisis of ’07-’09. The first, as expressed in Title II of the Dodd-Frank Act, Financial Stability Board initiatives, and European Commission proposals, is to give authorities powers to resolve weak financial institutions in a preemptive and orderly manner so as to avoid government bailouts and prevent systemic crises. The second, as expressed in the Volcker Rule, the UK’s Independent Commission on Banking’s final report, and the Liikanen Report, is to separate core from non-core banking activities so as to protect deposit-taking entities, mitigate the need for bail-outs, and prevent contagion of financial stress.
There has been much debate about the merits of these two initiatives relative to policy alternatives, but resolution powers and structural reform are now a fixed part of the regulatory landscape. The challenge passes, therefore, to successful implementation. The purpose of this conference is to bring together regulators, finance and legal practitioners, and finance and legal academics, to discuss how the goals of resolution powers and structural reform can best be achieved in practice.
Conference Location:
NYU Stern School of Business
Kaufman Management Center, Room 2-60
44 West Fourth Street
New York, NY 10012
Registration: Attendance is by invitation only.
For more information, contact the Salomon Center (salomon@stern.nyu.edu)
9:00 Registration and Continental Breakfast
9:20 Opening Remarks
Peter Henry, Dean, NYU Stern School of Business
9:30 Martin J. Gruenberg, Chairman, FDIC
10:15 Break
10:30 Panel on Resolution Authority
Gregory Baer, Managing Director, General Counsel—Corporate and Global Regulatory, JPMorgan Chase & Co.
Stephen Lubben, Harvey Washington Chair in Corporate Governance and Business Ethics, Seton Hall University School of Law
Harvey R. Miller, Senior Partner, Weil, Gotshal & Manges, LLP
Jim Wigand, Director of Office of Complex Financial Institutions, FDIC
Moderator: Bruce Tuckman, Clinical Professor of Finance,
NYU Stern School of Business
12:00 Lunch
“Capital Ratios May be Too High, Not Too Low”
Douglas Gale, Silver Professor and Professor of Economics,
Faculty of Arts and Science, NYU
Introduction by Thomas F. Cooley, Paganelli-Bull Professor of Economics, NYU Stern School of Business
1:30 Sir John Vickers, All Souls College, University of Oxford;
Chair, Independent Commission on Banking (2010-‐2011)
2:15 Break
2:30 Panel on Structural Reform
Michael S. Barr, Professor of Law, University of Michigan Law School;
Assistant Secretary of the Treasury for Financial Institutions (2009-‐2010)
Christine M. Cumming, First Vice President,
Federal Reserve Bank of New York
Viral V. Acharya, C.V.Starr Professor of Economics,
NYU Stern School of Business
Sir John Vickers, Oxford and ICB
Steven H. Strongin, Head of Global Investment Research, Goldman Sachs
Moderator: Matthew Richardson, Charles E. Simon Professor of Applied Economics, NYU Stern School of Business
4:00 Conference Adjourns
Background Reading by the Panelists and their Organizations
Bank of England and FDIC, "Resolving Globally Active, Systemically Important, Financial Institutions," 10 December 2012
Barr, Michael, "The Financial Crisis and the Path of Reform," Yale Journal of Regulation, Vol. 29, No. 1, Winter 2012
FDIC, "Title II Resolution Strategy Overview," August 2012
JPMorgan Chase, "Orderly Liquidation of a Failed SIFI," March 2012
Lubben, Stephen J., "Resolution, Orderly and Otherwise: B of A in OLA"
Miller, Harvey R. and Maurice Horwitz, "Resolution Authority: Lessons From The Lehman Experience"
Vickers, John, "Some Economics of Banking Reform," November 2012