Financial Regulation:

Modernization of the Financial Services Regulatory System

T-GGD-95-121: Published: Mar 15, 1995. Publicly Released: Mar 15, 1995.

Additional Materials:


Office of Public Affairs
(202) 512-4800

GAO discussed the modernization of the financial services regulatory system. GAO noted that: (1) although the banking industry appears to have recovered from its recent crisis, it is premature to assume that fundamental concerns about risk management and regulatory supervision have been resolved; (2) while the regulatory system has adapted to the financial industry's movements on an ad hoc basis, the regulatory structure has overlaps, anomalies, and gaps; (3) new safeguards could be implemented to prevent undue risks to various interests in the financial system; (4) financial services holding companies should be subject to comprehensive regulation on a functional and consolidated basis to prevent potential conflicts of interest and protect insured deposits; (5) capital standards for insured banks and financial services holding companies should adequately reflect all risks and regulators should conduct periodic assessments of their risk management systems; (6) regulators should have clear rulemaking and supervisory authority and be required to cooperate and coordinate with each other; and (7) mechanisms should exist to prevent excessive concentration of economic power and to ensure free entry into financial services markets.

Nov 3, 2015

Sep 4, 2015

Jul 30, 2015

Jul 27, 2015

Jun 25, 2015

Jun 11, 2015

May 22, 2015

May 5, 2015

Apr 30, 2015

Apr 15, 2015

Looking for more? Browse all our products here