developing diverse talent in the financial services industry as a key partner of the financial services pipeline initiative ( fsp ). the fsp is a collaborative of about 20 financial services organizations that are working together to increase the representation of latinos and african americans, at all levels, within the chicago - area financial services industry. the members of this initiative recognize they have a collective interest in developing a diverse pipeline of talent. they are more likely to be more successful in achieving their internal pipeline goals if they succeed in improving diversity and inclusion in the finance workforce more broadly. another example of our work to promote diversity at banking institutions is the standards developed by the board ’ s office of minority and women inclusion to promote transparency and awareness of diversity policies and practices within banking institutions. the board encourages banking institutions not only to provide their policies, practices, and self - assessment information to the board, but also to disclose this information to the public. we hope that this new self - assessment tool will help individual banks achieve their own diversity and inclusion goals and contribute to greater diversity in the banking industry more generally. see bayer and rouse ( 2016 ). - 3i also want to take this opportunity to update you on what we are doing to preserve and promote minority depository institutions ( mdis ). though i know that only some of you work for mdis, the federal reserve recognizes their vital role in serving low - and moderate - income and minority communities as well as bringing diversity to the field of banking. i make a point of meeting with the leadership of mdis as i travel around the country so i can hear firsthand about the challenges these institutions face and the important work they are doing to provide financial services to minority and historically underserved populations. i have heard from ceos of mdis about how challenging it can be to simultaneously serve their target market and be a bank of choice in a competitive banking market. some have managed to thread that needle successfully by remaining firmly rooted and accessible in the communities they serve as well as maintaining their focus on trust, loyalty, and personalized relationship banking, which is a particular strength and competitive advantage for mdis. the federal reserve has developed a national outreach program called the partnership for progress to assist mdis in confronting business model challenges, cultivating safe banking practices, and competing more efficiently. recently, the board doubled its resources for this program to better support mdis. we brought to bear the resources of our community development function, which promotes economic growth and financial stability in lower -

. liquidity standards in recognition of the fact that liquidity squeezes at some financial institutions played a key role in the financial crisis, the basel iii agreements also introduced, for the first time, quantitative liquidity requirements for application to internationally active banks. one standard, the liquidity coverage ratio ( lcr ), is designed to ensure a firm ’ s ability to withstand short - term liquidity shocks through adequate holdings of highly liquid assets. the other standard, the net stable funding ratio ( nsfr ), is intended to avoid significant maturity mismatches over longer - term horizons. again, there is a parallel to this international initiative in section 165 of the dodd - frank act, which calls for enhanced, graduated liquidity standards for large bank holding companies. precisely because this was the first effort on quantitative liquidity regulation by the basel committee, there were some questions about potential unintended consequences, as well as a desire to ensure that the new standards reflected actual experience with the stability of various funding sources and the relative liquidity of different financial instruments during the financial crisis. for these reasons, the federal reserve, with support from a number of other central banks and supervisors, suggested at the time of adoption of basel iii in 2010 a multiyear study period before the rules take effect. since then, the u. s. banking agencies and a basel committee working group have been collecting data, analyzing the potential effects of the lcr on financial markets and the broader economy, and considering what amendments might be warranted. the basel committee will likely suggest a set of changes to the lcr later this year, with a goal of introducing the lcr in 2015. work on the nsfr is on a considerably slower track ; the current plan is for implementation in 2018. resolution of sifis a third core regulatory reform goal of both the dodd - frank act and international policymakers is to enhance the ability of regulators to resolve failing sifis. the basel committee and the financial stability board ( fsb ) have set forth standards for national bis central bankers ’ speeches resolution regimes that will allow resolution of sifis in an orderly fashion, without taxpayer exposure to losses through solvency support. here in the united states, the dodd - frank act provides for an orderly resolution process to be administered by the federal deposit insurance corporation ( fdic ), and resolution planning by sifis to be overseen by the fdic and the federal reserve. together these provisions of the dodd - frank act are fully consistent with