WASHINGTON, D.C. – The Forum views reform and modernization of the U.S. regulatory supervisory structure as one of the most pressing issues facing our nation’s economy. We commend President Obama, Secretary Geithner, Director Summers and the Administration’s economic team for their leadership on this important issue. For several months our members have been reviewing the current framework, and identifying ways to strengthen it by closing gaps in the regulatory structure and addressing systemic risk.

“The United States cannot have a world-class economy without a world-class financial system, and The Forum applauds the Obama Administration's efforts to provide that modern framework,” said Forum Chairman and MetLife Chairman, President and CEO Rob Henrikson. “We will carefully review this proposal and look forward to working with the Administration and members of Congress on this important legislation.”

Regulatory reform and modernization has been a key policy issue for the Forum since its inception in 2000.

“The Forum supports the creation of an efficient and flexible 21st century regulatory framework that ensures the safety and soundness of financial institutions and protects the interests of stakeholders,” said The Bank of New York Mellon Chairman and CEO Robert Kelly.

Kelly is chairman of the Forum’s task force on regulatory reform and modernization. This group led the development of the Forum’s guiding principles for reform which were released in February 2009. (see attached)

“Forum members support a sensible regulatory reform plan that prevents regulatory arbitrage, addresses systemic risk, creates resolution authority, and ensures international cooperation. The Administration’s plan achieves many of these important goals and we look forward to working with Congress and the Obama team on this important issue,” added Kelly.

“This proposal is comprehensive and responsive to the long acknowledged deficiencies in our existing supervisory framework, as well as the important lessons of the current financial crisis,” said Forum President and COO Rob Nichols. “The Forum looks forward to continuing to serve as a resource to the Administration and Congress on this issue of vital importance to our financial sector and the overall economy,” he added.

The Financial Services Forum is a non-partisan financial and economic policy organization comprised of the CEOs of 17 of the largest and most diversified financial services institutions doing business in the United States.

The purpose of the Forum is to pursue policies that encourage savings and investment, promote an open and competitive global marketplace, and ensure the opportunity of people everywhere to participate fully and productively in the 21st-century global economy.