The transfer of vast sums to the care of professional managers by small savers belonging to a wide range of social groups raises special issues with regard to financial stability. Naturally, there is no derogation from the principle that the result of delegated investment depends on the performance of the management scheme, which may involve both lower-than-expected rates of return and capital losses.
Year 2000 Readiness It is crucial that the Federal Reserve provide reliable services to the nation’s banking system and financial markets. The Federal Reserve is giving the Year 2000 its highest priority, commensurate with our goal of maintaining the stability of the nation’s financial markets and payments systems, preserving public confidence, and supporting reliable government operations.