Flagstar promotes new executive; Firstar Financial acquires Stigler
Flagstar Bank promotes newly hired Jason Birnbaum; Finstar Financial tops $1billion-asset threshold with acquisition of Sitgler; digital platform Bluevine launches checking account for high balances; and more in the weekly banking news roundup.
The Canadian bank reported a 70% decline in profits at its U.S. commercial banking and wealth management unit in the most recent quarter and boosted reserves amid distress in the commercial real estate market.
Democratic Sens. Sherrod Brown, Elizabeth Warren, Jack Reed and John Fetterman say the revised approach would ensure the risks posed by the nation's largest banks are appropriately addressed. International banks, meanwhile, are concerned about the implications of the change.
Sen. Jack Reed, D-R.I., said that synthetic risk transfers make it easier for banks to accumulate risk, thereby making them less able to absorb losses in a crisis.