Good morning. I, too, would like to thank the members of the joint advisory committee for their willingness to give their time and expertise to these efforts. I also thank our respective Chairmen and my fellow Commissioners at the SEC and at the CFTC for agreeing to form this committee.
The market disruption of May 6, and the inability to promptly analyze and fully understand it, has created a sense of urgency and deserve your, and our, attention. It is essential that we respond to the events of May 6 and address the issues they raise.
Today's agenda was a step forward in this discussion.
As we undertake this important work, however, we must also remain focused on the broader issues related to the financial markets. As committee members, you have been called together at a time of historical significance.
It should not be lost on anyone that the essential role of the financial services sector is to facilitate the allocation of capital to productive uses. The financial crisis revealed a clear failure of markets and the financial sector to serve this role, with widespread mispricing of assets, trillions in losses, and damaging levels of unemployment and underemployment — together with an unprecedented concentration of wealth at the top.
Blind faith in markets led many to confuse what is good with what is efficient. To confuse what is in the public interest, with what the market produces.
As this committee does its important work and prepares recommendations for the SEC and the CFTC, I ask that you remember that our markets must serve the public interest by facilitating the real economy and sustainable, shared prosperity.
Thank you.