Newsletter Sept 2008: Corrigan report calls for big financial sector reforms

NEW YORK – A strong call for financial institutions to undertake a raft of “collective and concerted industry-wide initiatives” to limit damage from future market crises is being made by an influential group of senior bank executives. In a report published in August* they say that such reform initiatives may require market participants to make costly investments in infrastructure (human capital and technology), as well as “change business processes, and accept changes to market practices, that in the past have generated sizeable revenues, but at the cost of weakening the underlying foundation of the markets.”