FINANCE BRIEF: Democrats Urge Fed to Tighten Big Bank Guardrails

Senate Banking Committee Chair Sherrod Brown is calling on the Federal Reserve to finalize a proposal that would strengthen guardrails for global systemically important banking organizations and improve their resiliency.

“These banks should be using more shareholders’ equity to fund their risky activities, so that they — not U.S. taxpayers — are on the hook if those bets do not pay off,” Brown and fellow Democratic Sens. Elizabeth Warren (Mass.), John Fetterman (Pa.), and Jack Reed (R.I.) wrote in a letter to Federal Reserve Vice Chair for Supervision Michael Barr.

The letter comes ahead of an oversight hearing next week ...