roger w ferguson, jr : globalization, insurers, and regulators : shared challenges call for collaborative solutions remarks by mr roger w ferguson, vice chairman of the board of governors of the us federal reserve system, at the national association of insurance commissioners ( naic ) international insurance symposium, washington dc, 23 february 2006. * * * i am honored to deliver the keynote address at this important international symposium. our focus today - - on how developments and challenges around the world are reshaping the insurance industry and its regulation in europe, latin america, china, and india as well as here in the united states - - is certainly warranted. the worldwide integration of economies and financial markets is increasing, and a sound and vibrant insurance and reinsurance industry is needed to sustain global economic growth. thus, i am glad to see that this symposium has brought together regulators and major market participants from all parts of the globe. within the united states, the national association of insurance commissioners ( naic ) has over the years promoted interstate collaboration on regulatory matters, established and maintained a centralized information system, and supported and improved the state regulation of insurance. through its work, the naic has enhanced the reliability and financial health of the domestic insurance industry. the naic has also been active in fostering cooperation on supervisory issues in the international insurance arena, through groups such as the international association of insurance supervisors ( iais ), which the naic currently chairs ; the international accounting standards board ( iasb ) ; and the joint forum. the naic is, of course, also actively involved, through the iais, in the work of the financial stability forum ( fsf ), of which alessandro iuppa is a member. the work of the fsf is the main topic i will speak about today. before i proceed, i want to say that the views i will express are not necessarily shared by my colleagues on the board of governors. the fsf has taken an interest in a variety of developments affecting the financial sector in recent years. i would like to leave you with three messages based on its work in this area : first, effective collaboration among regulators and other authorities is important ; second, enhanced transparency and disclosure are important ; third, firms and regulators need to have early and continuous dialogue on regulatory developments. i will discuss these statements in a minute, but before turning to them i want to give you some background on the creation of the financial stability forum, its composition, and its purpose. as you

lael brainard : recent changes in the resilience of market liquidity speech by ms lael brainard, member of the board of governors of the federal reserve system, at the policy makers ’ panel on financial intermediation : complexities and risks for “ the future of financial intermediation : banking, securities markets, or something new? ” salzburg global forum on finance in a changing world, salzburg, austria, 1 july 2015. * * * recent events and commentary raise concerns about a possible deterioration in liquidity at times of market stress, particularly in fixed income markets. 1 these concerns are highlighted by several episodes of unusually large intraday price movements that are difficult to ascribe to any particular news event, which suggest a deterioration in the resilience of market liquidity. for example, on the morning of october 15, 2014, 10 - year u. s. treasury yields gyrated wildly, and the intraday movement in treasury prices was 6 standard deviations above the mean. in addition, after 4 p. m. on march 18 edt of this year, a meeting day for the federal open market committee, the u. s. dollar depreciated against the euro by 1. 75 percent in less than three minutes, an unusually large drop in such a short interval. a few weeks later, markets experienced some very large intraday movements in the price of german bunds during times of little market news. in contrast, there have been a few notable episodes where market volatility was clearly attributable to significant news but nonetheless appeared to evidence some deterioration in the resilience of liquidity. for example, on january 15 of this year, the announcement by the swiss national bank regarding the floor of the exchange rate between the euro and the swiss franc led to severe disruptions in foreign exchange markets. separately, the rise in bond yields in may and june 2013, the so - called taper tantrum, also appeared to many observers to have been out of proportion to the news that prompted it. 2 a reduction in the resilience of liquidity at times of stress could be significant if it acted as an amplification mechanism, impeded price discovery, or interfered with market functioning. for instance, during episodes of financial turmoil, reduced liquidity can lead to outsized liquidity premiums as well as an amplification of adverse shocks on financial markets, leading prices for financial assets to fall more than they otherwise would