The U.S. Chamber of Commerce’s (the “Chamber”) Center for Capital Markets Competitiveness supports the Financial Stability Oversight Council’s (the “FSOC” or “Council”) mission of addressing risks to U.S. financial stability. Specifically, regarding monitoring and assessing nonbank financial companies, the Chamber has strongly supported the activities based approach to determine threats to financial stability that was finalized in the 2019 guidance.
The Chamber believes that the 2019 guidance is the best means of achieving the intent of monitoring and addressing potential financial stability issues for nonbank financial companies. While recent pronouncements indicate that FSOC may attempt to craft new guidance for nonbank financial companies, it is important that such an effort include notice and comment for stakeholders. Additionally, any guidance in this area must adhere to the court holding in Metlife, Inc. v. Fin. Stability Oversight Council, 177 F. Supp. 3d 219 (D.D.C. 2016).