WASHINGTON, D.C. — David Hirschmann, president and CEO of the U.S. Chamber Center for Capital Markets Competitiveness (CCMC), issued the following statement today regarding the decision by the Financial Stability Oversight Council (FSOC) to rescind the designation of Prudential Financial as a “systemically important financial institution” (SIFI):
“We welcome the de-designation of Prudential Financial as a non-bank systemically important financial institution (SIFI). Designating non-banks for bank-like regulation was the wrong approach for addressing potential systemic risk and ensuring stability and growth. This decision stands as the latest signal of forward progress since 2008, and we appreciate efforts by regulators to instead look at specific activities to address any risks to the system.
“As a next step, we urge the Treasury Department to take expedient action to implement reforms for FSOC’s determination and designation processes, such as those laid out in the department’s report last year.”
Since its inception in 2007, the Center for Capital Markets Competitiveness has led a bipartisan effort to modernize and strengthen the outmoded regulatory systems that have governed our capital markets. The CCMC is committed to working aggressively with the administration, Congress, and global leaders to implement reforms to strengthen the economy, restore investor confidence, and ensure well-functioning capital markets.
The U.S. Chamber of Commerce is the world’s largest business federation representing the interests of more than 3 million businesses of all sizes, sectors, and regions, as well as state and local chambers and industry associations.