Fed's Barr: Bank Management and Regulators Failed on SVB

The transcript discusses the evaluation of a financial institution's ratings in 2022, focusing on the composite and liquidity ratings. It examines the alignment of these ratings with supervisory standards and the adequacy of actions taken. The responsibility of the Federal Reserve in supervising the institution is questioned, highlighting failures in bank management, supervision, and the regulatory system.

What was the composite rating of the financial institution in the summer of 2022?

• One

• Two

• Three

• Four

Which rating was considered satisfactory for the institution?

• Composite rating

• Liquidity rating

• Risk rating

• Credit rating

What was being reviewed in terms of the institution's standards?

• The historical accuracy of the standards

• The impact of the standards on profitability

• If the standards were sufficiently stringent

• Whether the standards were too lenient

Who is responsible for supervising the financial institution?

• The Securities and Exchange Commission

• The Federal Reserve

• The Treasury Department

• The Financial Stability Oversight Council

What failures are acknowledged in the event of a bank failure?

• Only the regulatory system failed

• Only supervisors failed

• Bank management, supervisors, and the regulatory system all failed

• Only bank management failed