25th Annual Financial Markets Conference - Rewiring for Resilience in an Evolving Financial Network - Agenda - May 17–19, 2020

Banner for the 2020 Financial Markets Conference on May 17, 2020

May 17–19, 2020
Amelia Island, Florida


Sunday, May 17
6:00 p.m. Reception
7:00 Keynote speech and dinner
Mark Calabria, Director, Federal Housing Finance Agency

Monday, May 18
7:30 a.m.
8:25 Welcome
Raphael Bostic, President and Chief Executive Officer, Federal Reserve Bank of Atlanta
8:30 Policy Session 1: Do the Current Capital Requirements Provide the Right Buffer?
A number of changes have been made to capital requirements since the financial crisis. The revisions include higher equity capital requirements as a result of changes to the Basel Accords and the adoption of stress testing. On the debt capital side, banks have been required to issue debt that converts to equity either on a going-concern or gone-concern basis. This session will ask if these equity requirements sufficiently fortify the banking and financial system to withstand the next big financial shock. If the shock overwhelms the increased equity, can we rely on the debt capital requirements to adequately recapitalize failing banks without a government-funded bailout? Is there another way to provide the desired protection from financial shocks at a lower cost?
Moderator: Loretta Mester, President and Chief Executive Officer, Federal Reserve Bank of Cleveland
Presenter: Rene Stulz, Everett D. Reese Chair of Banking and Monetary Economics and Director, Dice Center for Research in Financial Economics, Ohio State University
Discussant: Doug Elliott, Partner, Oliver Wyman
Discussant: Dennis Kelleher, President and Chief Executive Officer, Better Markets
10:00 Break
10:30 Research Session 1: Tiered CBDC and the Financial System
Session Chair:Warren Weber, Visiting Scholar, University of South Carolina
Presenter: Ulrich Bindseil, Director General of Market Infrastructure and Payments, European Central Bank
Discussant: Charles Kahn, Professor Emeritus of Finance, University of Illinois, Gies College of Business
11:30 Luncheon buffet
1:00 p.m. Research Session 2
Session Chair: TBA
Presenter: TBA
Discussant: TBA
2:00 Break
2:30 Policy Session 2: Is the Financial System's Backbone, the U.S. Dollar, Also a Transmitter of Stress?
The U.S. dollar retains a central role in the global financial system, both in payments and capital markets. This reliance on the dollar provides some significant efficiencies during normal times, but it also means that stresses in U.S. dollar markets can have a global impact. This session examines whether liquidity in U.S. dollar markets is overpromised and underpriced. Have changes in regulation that seek to protect specific markets and institutions merely shifted the stresses into other markets? To what extent has the Fed become obligated to become the de facto global central bank in order to satisfy its domestic responsibilities?
Moderator: Rob Kaplan, President and Chief Executive Officer, Federal Reserve Bank of Dallas
Presenter: Arvind Krishnamurthy, John S. Osterweis Professor of Finance, Stanford Graduate School of Business, and Research Associate, National Bureau of Economic Research
Discussant: Philip Turner, Visiting Fellow, National Institute of Economic and Social Research, University of Basel
Discussant: Michael Howell, Founder and Managing Director, Crossborder Capital
6:00 Reception
7:00 Keynote speech and dinner
Richard Clarida, Vice Chair, Board of Governors
Tuesday, May 19
7:00 a.m. Breakfast
7:50 Welcome back
Raphael Bostic, President and Chief Executive Officer, Federal Reserve Bank of Atlanta
8:00 Keynote speech
Lawrence H. Summers, Charles W. Eliot University Professor and the President Emeritus, Harvard University
8:45 Policy Session 3: Is Digital Currency a Valuable Innovation or a Cause of Future Crossed Signals?
Private digital currency moved beyond the world of crypto and blockchain aficionados into serious policy discussions with Facebook's announcement of Libra. Libra raised the possibility almost overnight of a private digital currency backed by assets denominated in sovereign currencies (or stablecoins) becoming a material factor in global financial systems. It also helped strengthen interest in digital currencies issued by central banks. This session will address some of the financial stability and monetary policy issues that would arise in a world with globally significant stablecoins and/or central bank digital currency.
Moderator: Esther George, President and Chief Executive Officer, Federal Reserve Bank of Kansas City
Discussant: Christian Catalini, Cocreator of Libra and Head Economist, Calibra from Facebook
Discussant: Jon Frost, Senior Economist, Innovation and the Digital Economy Unit of the Monetary and Economic Department, Bank for International Settlements
10:15 Break
10:45 Policy Session 4: Does Monetary Policy Still Have the Juice to Keep the Economy from Dimming?
Central banks throughout the developed world have adopted some combination of very low policy rates and balance sheet expansion to help satisfy their mandates, raising the question of whether the ability of central banks to spur activity is dimming. This session asks if central banks' tools still allow them to combat the next recession.
Moderator: Julia Coronado, President and Founder, MacroPolicy Perspectives
Discussant: Willem Buiter, Visiting Professor of International and Public Affairs, Columbia University
Discussant: Joseph Gagnon, Senior Fellow, Peterson Institute for International Economics
Discussant: Simon Potter, Independent Consultant
Discussant: Stephen Williamson, Stephen A. Jarislowsky Chair in Central Banking, University of Western Ontario
12:15 p.m. Closing remarks
12:20 Luncheon
1:30 Adjournment