Mark Carney: Closing remarks to the Open Forum Closing remarks by Mr Mark Carney, Governor of the Bank of England and Chairman of the Financial Stability Board, to the Bank of England Open Forum, London, 11 November 2015. *  *  *  Let me begin by thanking the Lord Mayor and his team for their gracious hospitality once again. The Guildhall really is a fantastic venue, and I want to take this opportunity, as we approach the end of your term as Lord Mayor, to salute you for the emphasis that you have put on the broader role of finance in society, the broader role of the City of London in the UK economy and in the global economy, and your broader contributions to society. City Giving Day is but one example of that, and we are all very much in your debt for your enormous contribution. On behalf of my colleagues, I want to thank the Chancellor of the Exchequer and the President of the European Central Bank for their insightful comments. Let me also thank all of the panellists for their well-chosen, provocative, and effective contributions. I am also grateful to the moderators here today, in person or online from across the country, for helping drive our Open Forum. Most of all, let me thank our steering committee, those 20 people from all walks of life, who put a tremendous amount of time and thought into the sessions.
Further innovations are needed if the sector is to come to terms with the new business models that Andrew Bailey and others have mentioned today. For example, innovations in the way banks are organised that are consistent with orderly resolutions. Separately, and as noted in a number of panels today, asset managers also need to innovate to adapt to the new realities of market liquidity. The increase in the scale of the asset management sector since the crisis has been notable, as has been the emergence of investment funds that offer daily liquidity while investing in securities that only appear liquid. The Bank, the Financial Conduct Authority and the Financial Stability Board are keenly aware of these risks, and we are working to resolve them in an orderly manner. The area of market liquidity is one place where there may be duplicative regulations and scope for adjustment. Market participants should rest assured we have made adjustments in the past where we have gotten things wrong. We adjusted the liquidity coverage ratio. President Draghi noted the joint work between the Bank and the European Central Bank to change securitisation – an example of fixing something we had not gotten exactly right. We will continue to adjust our market operations. Let me move towards the conclusion of my conclusion. The point about reform and review being a continual effort came through in spades. David Kynaston noted that there have been four big bursts of reform in the last 150 years.