As they continue efforts to revamp U.S. financial services regulation, lawmakers are now trying to tackle the thorny issue of “systemic risk”—in particular, what exactly it is and how to deal with it in an effort to avoid another financial meltdown.
That was the topic of the first in a series of planned hearings by the House Financial Services Committee as it mulls the creation of a “systemic risk regulator” to monitor market-wide risk. The committee sought input from consumer and labor advocates and representatives from the financial services industry at a March 17 hearing.
