Barr says ‘must strengthen’ Fed supervision, regulation after Silicon Valley

The Federal Reserve Board on Friday announced the results from the review of the supervision and regulation of Silicon Valley Bank, led by Vice Chair for Supervision Michael Barr. The report discusses in detail the management of the bank and the supervisory and regulatory issues surrounding the failure of the bank. It goes through the recent supervisory history of Silicon Valley Bank and includes more than two dozen documents containing the bank’s confidential supervisory information such as supervisory letters, examination results, and supervisory warnings. "Following Silicon Valley Bank’s failure, we must strengthen the Federal Reserve’s supervision and regulation based on what we have learned. This review represents a first step in that process-a self-assessment that takes an unflinching look at the conditions that led to the bank’s failure, including the role of Federal Reserve supervision and regulation," said Vice Chair for Supervision Barr. "I welcome this thorough and self-critical report on Federal Reserve supervision from Vice Chair Barr. I agree with and support his recommendations to address our rules and supervisory practices, and I am confident they will lead to a stronger and more resilient banking system," added Federal Reserve Chair Jerome Powell. Reference Link