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On growing concerns in some quarters over the rapid rise of the leveraged loans market and the possibility for systemic risk:

“'This time it’s different.'”

Related: Is a leveraged lending crisis imminent? Depends who you ask
Wells Fargo sign
A Wells Fargo & Co. sign sits on display outside the company's offices in San Francisco, California, U.S., on Tuesday, April 27, 2010. Wells Fargo & Co., the fourth-largest U.S. bank by assets and deposits, may raise its dividend once capital levels satisfy regulators and if the economic recovery continues, said Chief Executive Officer John Stumpf. Photographer: David Paul Morris/Bloomberg
David Paul Morris/Bloomberg
On Wells Fargo shifting more of its philanthropic efforts toward affordable housing:

"Funny how a Needs to Improve CRA rating can help a bank place a '...greater focus on affordable rental housing and combating homelessness.'"

Related: Wells Fargo tilts philanthropic focus to affordable housing
Herb Sandler
On the death of Herb Sandler, known as a co-founder of Golden West, which offered pick-a-pay loans that soured on Wachovia's books during the crisis, who was also a prominent funder for organizations including ProPublica, the Center for American Progress and the Center for Responsible Lending:

"I wonder how the Center for Responsible Lending would've viewed Sandler's pick-a-pay option mortgage product? Likely not good. Perhaps funding the Center is the Sandler's penance for their awful product and its contribution to the mortgage meltdown."

Related: Golden West co-founder Herb Sandler dies at 87, leaving complicated legacy
qbp profits 1q 2019 FDIC net income
On a look at the Federal Deposit Insurance Corp.'s most recent quarterly banking report, which showed higher profits for the industry:

"Whenever I see these reports with positive earnings results for banks, I shudder, because Congress sees these reports and thinks they've taken banks to the woodshed with more and more regulation and they are STILL profitable. So then Congress thinks they can do even MORE to the banking industry. Just wait."

Related: 5 takeaways on industry’s health, from FDIC’s 1Q report
Esther George, president and chief executive officer of the Kansas City Federal Reserve Bank.
“It's only when something happens where things unwind in a disorderly fashion that you get some of the consequences that I worry about," Kansas City Fed President Esther George says.
On Kansas City Fed President Esther George pushing back on critics of the central bank developing a real-time payments system:

"What we clearly do not need is another broken payment system run by big banks holding hands, setting default prices, creating one-sided rules, disadvantaging small banks and denying merchants and consumers the benefits that come from a competitive market. The Fed is likely our only salvation!"

Related: Fed official hits back at criticism of central bank’s payments role
Victoria Finkle
BankThink Editor , American Banker
Leveraged loans Risk management Real-time payments Earnings Affordable housing
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