In many respects, that would seem rather obvious and hardly earth shaking, and in many ways it is, indeed, nothing new. The Federal Reserve and the other banking agencies have long sought to identify exceptions and to prioritize examination activities.
In the past, though, the business of bank supervision has focused on validating bank balance sheets, particularly the value of loan portfolios, which have been historically the principal source of problems for banks. Much of the prior emphasis was on determining the condition of a bank at a point in time.