Reducing systemic risk in the shadow banking system Most of the reforms I have discussed are aimed at addressing systemic risk posed by regulated banking organizations, and all involve action the Federal Reserve can take under its current authorities.
The importance of this issue, however, warrants further public action for small and medium enterprises and, especially, for enhancing the standardisation of data for all firms. The last issue that I would like to discuss concerns market neutrality. As a central bank, our investment strategy has always been careful in avoiding being a source of market distortion.