appropriate tools to attain its objectives. i therefore consider it very important that finansinspektionen ’ s mandate should be clarified and that the conditions for an amortisation requirement are investigated as quickly as possible. when it comes to the costs of the expansionary monetary policy, there is also a risk that losses will arise on the riksbank ’ s balance sheet as a result of the bond purchases. in pure accounting terms, the bond portfolio will be booked at market value. this means that the value of the portfolio will vary as interest rates change. the cost of funding the holdings will therefore increase when short - term interest rates eventually rise. if the riksbank were to suffer a loss, however, it would not entail any particular problem, but it would lead to the surplus we pay to the state every year declining. there will thus be less money for the swedish treasury. we have nevertheless chosen to take these measures to emphasise that we want to safeguard the role of the inflation target as nominal anchor for price - setting and wage formation. moreover, we have said that if more is required to get inflation to rise towards the target, we will do more. and we are prepared to do so with force. 2012 and christensen, j. h. e. and krogstrup, s. “ swiss unconventional monetary policy : lessons for the transmission of quantitative easing ”, federal reserve bank of san francisco working paper 2014 – 18. bis central bankers ’ speeches concluding reflections in my speech today i have tried to describe current monetary policy from an historical perspective. i hope that you have gained a deeper understanding of current monetary policy. the objectives and means of central banks have changed over time, usually as a result of economic crises. this has led to rethinking of the prevailing consensus view of monetary policy. experiences from the 1990s crisis showed the importance of having a credible nominal anchor, which led to an increased element of “ norm - based thinking ” in monetary policy. for the riksbank, this resulted in the inflation - targeting regime we have now. with regard to the experiences of the most recent global financial crisis, we are to some extent still on a learning curve. but personally, i think that one important lesson is that financial stability is a necessary condition for macroeconomic stability and price stability. developments in the wake of the financial crisis have also shown how dependent sweden ’ s economy is on developments abroad. i think that current monetary policy reflects all of these lessons

susan schmidt bies : challenges of conducting effective risk management in community banks remarks by ms susan schmidt bies, member of the board of governors of the us federal reserve system, at the western independent bankers annual cfo and risk management conference, coronado, california, 6 june 2006. * * * i am pleased to be here today and thank you very much for the invitation. the focus of this conference is risk management, which i think is an excellent discussion topic for bankers, regardless of their institution ’ s size. in fact, i am quite pleased to see more and more conferences devoted exclusively to risk management, analyzing its different facets and exploring ways to tailor it to specific institutions and situations. there is growing understanding that good risk management can be an integral part of running any type of business. risk management in financial services with respect to financial services, the federal reserve board, as the primary supervisor of state member banks and the consolidated supervisor of financial holding companies, has been working with other regulators and financial institutions to improve the effectiveness of banks ’ risk management in order to keep pace with changing business practices and strategies. the federal reserve has long emphasized the need for appropriate and strong internal controls in the institutions we supervise, and we have taken a continuous - improvement approach to our risk - focused examinations. for many years, enterprise risk management across an entire entity has received increased scrutiny. of course, bankers are the ones who have led the way in continuing to improve the risk - management and risk - measurement processes at their institutions. to be more effective competitors and to control and manage their losses, banks have created many new techniques to improve their risk management and internal economic capital measures. by more clearly defining risk exposures, identifying the causes of their losses, and establishing controls to limit future losses, bank managers have been better able to integrate decisions about risk - taking into their strategic and tactical decision making. banks that integrate risk measurement into their business - line goals often find that this helps them to implement their strategic plans more effectively. that is because strategic planning tends to focus more on alternative “ most likely ” scenarios. by including a risk management analysis in the strategy discussion, bankers can more clearly identify the inherent operational and environmental factors that can significantly affect the realization of strategic goals. thus, banks can design in, at the start, the appropriate internal controls and management information systems to improve the execution of the strategy. in some cases, firms may be practicing good risk management on an exposure - by - exposure basis, but