Ending Too big to fail To address the problem of too big to fail, most clearly exemplified by the hugely disruptive failure of Lehman Brothers in September 2008, the FSB has taken three bold policy actions. 4  The FSB reform objective for shadow banking is to transform it into resilient market-based finance.
These markets are and have long been among the deepest and most liquid markets in the world. It was important to make the auction system more robust to potential manipulation, and we made several recommendations to do so and to open up the process to greater competition.