Sheila C. Bair Joins CFS Distinguished Advisory Board

FOR IMMEDIATE RELEASE

THE CENTER FOR FINANCIAL STABILITY APPOINTS SHEILA C. BAIR TO DISTINGUISHED ADVISORY BOARD

(New York, NY – JULY 29, 2020) The Center for Financial Stability (“CFS”), today, announced the appointment of Sheila C. Bair to its distinguished Advisory Board.  Ms. Bair will also serve as a CFS Senior Fellow, contributing to research and policy offerings.

Ms. Bair has had a long and distinguished career in government, academia, and finance. Twice named by “Forbes” magazine as the second most powerful woman in the world, she is perhaps best known as Chair of the Federal Deposit Insurance Corporation (FDIC) from 2006 to 2011, when she steered the agency through the worst financial crisis since the Great Depression.  For her efforts to protect bank depositors and homeowners during the crisis, she received the Kennedy Library’s Profiles in Courage Award, and was named “the little guy’s protector in chief” by “Time” magazine.

“CFS has long been a thought leader in the area of monetary policy and financial system analytics.  The organization has been an influencer of influencers,” Sheila Bair said. “It is time to broaden the CFS footprint,” added Ms. Bair.

“We are thrilled that Sheila has joined us at CFS.  Her independence, courage, knowledge, and integrity fully reflect and amplify CFS values and principles,” said Lawrence Goodman, President and Founder of the Center for Financial Stability.

A former finance professor and college president, Ms. Bair has been nationally recognized for her innovative initiatives to make college more accessible and affordable. She is a frequent commentator and op-ed contributor on financial regulation and the student debt crisis, as well as author of the NY Times Best Seller, “Bull by the Horns”, her 2012 memoir of the financial crisis.

Ms. Bair currently serves on a number of corporate governing boards, including Host Hotels, Bunge Ltd., and Fannie Mae, and on the International Advisory Board to the Santander Group. She also serves on the board of Paxos, a blockchain technology trust company, and as an advisor to several fintech startups. She is a founding director of the Volcker Alliance, established by Former Federal Reserve Board Chair Paul Volcker to build trust in government and is the founding chair of the Systemic Risk Council, which advocates for financial stability. In addition, she is a Senior Advisor to the Peter G. Peterson Foundation on financial issues confronting young people.

William R. Rhodes, the Chairman of the Advisory Board stated, “CFS’ innovative and practical approach, programs, and research position the organization as one of the world’s leading think tanks and a vital resource for the New York and international financial communities.” He added that “Sheila will play an important role in our future.”

CFS is an independent, nonpartisan think tank focused on financial markets – with business lines presently segmented into the future of finance, data and analytics, policy, and technology.  The Center for Financial Stability was created before financial stability became widely recognized in the private sector as an essential factor in central banking and policy.  CFS has successfully and consistently anticipated future financial market trends over the years with an ahead-of-their-time approach to the early identification of financial risks.  CFS has developed data and analysis to improve the study of financial markets.  CFS maintains a global reach with participants from over 187 of the 195 countries in the world.  CFS prides itself on integrity, long-term relationships, and independence.

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Media Contact:
Brigitte Rudman
212.626.2660
brudman@the-cfs.org

New Chairman: CFS Names William R. Rhodes Chairman of the Advisory Board

PRESS RELEASE

THE CENTER FOR FINANCIAL STABILITY
NAMES WILLIAM R. RHODES CHAIRMAN OF ADVISORY BOARD

FOR IMMEDIATE RELEASE

(New York, New York- June 29, 2020) 

The Center for Financial Stability (“CFS”), today, announced the appointment of William R. Rhodes as the first Chairman of the Organization’s distinguished Advisory Board.

CFS is an independent, nonpartisan think tank focused on financial markets – with business lines presently segmented into the future of finance, data and analytics, policy, and technology.

“CFS’ innovative and practical approach, programs, and research position the organization as one of the world’s leading think tanks and a vital resource for the New York and international financial communities,” William Rhodes said.

Rhodes is an excellent choice to hold the distinct title, as he has been an active CFS participant over many years, leading roundtable discussions and moderating panels of prominent leaders.  He also delivered a seminal “Bretton Woods 2014 – Founders of the Future” keynote dinner address at the Mount Washington Resort in New Hampshire, which was exclusively available for the CFS conference, just as it was in 1944.  An invite-only, guest list which included world leaders from government, business, and academia in a working-group environment to focus on the future of finance and the international monetary system.

“We are thrilled that Bill is our first Chairman of the CFS Advisory Board.  His sustained leadership in finance and public policy is legendary – for his understanding of diverse interests across private institutions and nations as well as his ability to act.  At this time of global risks and crises, Bill’s insights and success will meaningfully magnify CFS’s work in risk management, crisis prevention, and policy,” said Lawrence Goodman, founder and President of the Center for Financial Stability.

William Rhodes is an American banker and philanthropist. He is former Chairman, CEO, and president of Citibank and senior vice chairman of Citigroup. He served in various senior executive positions at Citi from 1957 until his retirement from Citigroup on April 30, 2010. He gained worldwide reputation for international financial diplomacy in the 1980s, 1990s, and 2000’s as a result of his leadership in helping manage the external-debt crises that involved developing nations and their creditors worldwide. During that period and in the 1990s, he headed the advisory committees of international banks that negotiated debt-restructuring agreements for Argentina, Brazil, Jamaica, Mexico, Peru, Uruguay, Nicaragua, and Iraq. In 1998, when the Republic of Korea experienced liquidity problems, he chaired the international bank group that negotiated the extension of short-term debt of the Korean banking system. In early 1999, at the request of the government of Brazil, he acted as worldwide coordinator to help implement the maintenance of trade and interbank lines by foreign commercial banks to Brazil. He has since served as a trusted advisor to governments, financial officials, and corporations worldwide.

He is the director of the Private Export Funding Corporation; chairman emeritus of the U.S.-Korea Business Council; vice-chairman of the National Committee on U.S. – China Relations; a director of the Korea Society;  a member of the Chairman’s advisory council and senior fellow of The Hudson Institute; a member of the Board at the Foreign Policy Association; and a former trustee of the Economic Club of New York.  He is also a member of the Council on Foreign Relations, The Group of Thirty, and the Advisory Council of the Brazilian American Chamber of Commerce. Mr. Rhodes is a member of the Board of Directors of the Volcker Alliance, a member of the European-American Chamber of Commerce New York and a member of the Executive Committee, Bretton Woods Committee Board of Directors.  He is the first vice-chairman emeritus of the Institute of International Finance and Chairman emeritus of the Americas Society and Council of the Americas. He previously served as Chairman of the New York Blood Center, the Bankers Association for Finance and Trade, and the U.S. Hong Kong Business Council.

William Rhodes is a life trustee of The New York-Presbyterian Hospital; a member of the Metropolitan Museum of Art Business Committee and Chairman’s Council, and chairman emeritus of the Board of Trustees of the Northfield Mount Hermon School. He has received decorations and honors from various governments and institutions, including an honorary doctorate in humane letters from his alma mater Brown University, where he established the William R. Rhodes Center for International Economics and Finance; a member of Center on Capitalism and Society at Columbia University; Officer and Chevalier of France’s Legion of Honor; decorations from Poland, Korea, Brazil, Mexico, Argentina, Venezuela, Colombia, Panama and Jamaica; and multiple awards from not-for-profit organizations such as the Africa-America Institute, Arab Bankers Association of North America, the America-Israel Friendship League and Sciences Po Foundation, Pro Mujer, Franklin Delano Roosevelt Boy’s Scouts Award in recognition of his contributions to international banking and finance.

He authored the book BANKER TO THE WORLD:  Leadership Lessons from the Front Lines of Global Finance.  The book is available in English, Spanish, Mandarin, Korean, Japanese, Portuguese, and a separate edition published by Tata in India and the Sub-continent. The book has two editions in English and Spanish.

The Center for Financial Stability was created before financial stability became widely recognized as an essential factor in central banking and policy.  CFS has successfully and consistently anticipated future financial market trends over the years with an ahead-of-their-time approach to the early identification of financial risks.  CFS has developed data and analysis to improve the study of financial markets.  CFS maintains a global reach with participants from over 187 of the 195 countries in the world.  CFS prides itself on integrity, long-term relationships, and independence. 

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Media Contact:

Brigitte Rudman
212.626.2660
brudman@the-cfs.org

Financial Timeline: 13 years of Official and Market Action

The CFS Financial Timeline, created and managed by senior fellow Yubo Wang, is likely the longest continuous financial timeline freely available. It covers over 1,300 international events from early 2007 to the present. The timeline curates essential inputs from established public sources to seamlessly link financial markets, financial institutions, and public policies.

The CFS Financial Timeline has become an integral part of the work done by scholars, students, government officials, and market analysts, who seek to:

  • Uncover relationships among market reactions, institutional activities, and public policies
  • Accurately analyze developments, in one place, as they happen,
  • Put current events in a historical context, and gain insights on future developments.

View the Timeline at:
http://centerforfinancialstability.org/timeline.php

Schuler on “Just Before Bretton Woods: The Atlantic City Conference”

CFS senior fellow Kurt Schuler presented on “Just before Bretton Woods: The Atlantic City Conference” at an event organized by the Treasury Historical Association.

Kurt’s presentation on the conference that laid the groundwork for Bretton Woods is available at http://www.CenterforFinancialStability.org/speeches/Just_before_Bretton_Woods_THA_20190717.pdf

His talk is based on a forthcoming book of the conference minutes that he is working on with co-editor Gabrielle Canning.

WSJ features Sandor on LIBOR Replacement…

Today, The Wall Street Journal published a wonderful article on CFS Advisory Board Member Richard Sandor and his company the American Financial Exchange (AFX). AFX developed a market-based LIBOR alternative, Ameribor. It now trades on an electronic platform and has over 700 institutional members in 49 states.

The article also nicely chronicles Richard’s prior successes as a perennial entrepreneur in the world of financial products – https://www.wsj.com/articles/futures-guru-targets-libor-replacement-11555410600.

Richard outlined thoughts on a LIBOR alternative at a CFS roundtable in 2012. He delved even more deeply and broadly at a roundtable discussion “Creation and Evolution of New Markets: The Case of Interest Rate Benchmarks” late last year – http://www.centerforfinancialstability.org/research/Sandor-11-16-18.pdf.

Novick on Financial Industry Transitions

Barbara Novick (BlackRock Vice Chairman and CFS Advisory Board Member) discussed financial industry transitions at the recent CFS Global Markets Workshop.

Presentation highlights include:

– Indexed equity strategies remain relatively small,
– Challenges of applying macroprudential tools to market finance,
– Potential risks to the US financial system from the future of Libor to bondholder rights to pension underfunding, among others.

For accompanying slides:
www.CenterforFinancialStability.org/research/BNovick-slides11-29-18.pdf

Sandor on “Creation and Evolution of New Markets: The Case of Interest Rate Benchmarks”

Dr. Richard Sandor – CFS Advisory Board Member and CEO of the American Financial Exchange (AFX) delivered remarks “Creation and Evolution of New Markets: The Case of Interest Rate Benchmarks” at a recent CFS roundtable.

Richard discussed the new Secured Overnight Financing Rate (SOFR) and American Interbank Offering Rate (Ameribor) – which is a new transaction-based interest rate based on actual overnight, unsecured transactions. As a perennial financial entrepreneur, his comments on LIBOR, financial innovation and the seven stages of market creation were especially noteworthy.

For the presentation: http://centerforfinancialstability.org/research/Sandor-11-16-18.pdf

For more on the AFX and Ameribor, please request a briefing pack from Rafael Marques at rmarques@theafex.com.

CFS Financial Crisis Timeline

As the 10-year anniversary of the global financial crisis approaches, assessment of key events before, during, and since is essential for understanding varying dimensions of the crisis.

The CFS Financial Timeline, created and managed by senior fellow Yubo Wang, seamlessly links financial markets, financial institutions, and public policies. It:

  • Covers more than 1,100 international events from early 2007 to the present.
  • Provides an actively maintained, free, and easy-to-use resource to help track developments in markets, the financial system, and forces that impact financial stability.
  • Curates essential inputs on a real time basis from established public sources.

Since 2010, the Timeline has become an integral part of the work done by scholars, students, government officials, and market analysts. View the Timeline.

We hope you find it of use and interest.

Fed Balance Sheet Since 1914

Kurt Schuler (CFS senior fellow in financial history) and students of Steve Hanke (CFS special counselor) converted the Fed’s weekly balance sheet from its beginning into spreadsheet form.

The data should prove useful for anyone concerned with the quantitative study of monetary policy in the United States over the last 100+ years.

Our joint Johns Hopkins / CFS working paper, “The Federal Reserve System’s Weekly Balance Sheet since 1914,” is available here.

Accompanying Spreadsheets

Similarly, Bank of England’s Ryland Thomas informs of an improved balance sheet dataset for the Bank and new paper “The Bank of England as lender of last resort: new historical evidence from daily transactional data.”

Bondi Testimony on SEC Seform

CFS senior fellow Bradley J. Bondi testified before the U.S. House of Representatives Subcommittee on Capital Markets, Securities, and Investment at a hearing entitled, “Ensuring Effectiveness, Fairness, and Transparency in Securities Law Enforcement” on June 13, 2018.

In his testimony and written statement, Brad advocated for transparency and reform from the SEC with respect to the imposition of issuer/shareholder penalties and disgorgement, advised against extending the statute of limitations for SEC enforcement actions, and discussed pending legislation to reform SEC administrative proceedings and to preempt enforcement of certain state securities laws.

Testimony and written statement
https://financialservices.house.gov/calendar/eventsingle.aspx?EventID=403565

Bondi’s CFS Ten-Point Blueprint for SEC Reform
http://www.centerforfinancialstability.org/research/Bondi_8_17_17.pdf