Cornelius Hurley
Lecturer at Boston UniversityCornelius Hurley teaches financial services law at Boston University School of Law. He served as an independent director of the Federal Home Loan Bank of Boston from 2007-2021.
Cornelius Hurley teaches financial services law at Boston University School of Law. He served as an independent director of the Federal Home Loan Bank of Boston from 2007-2021.
The questions about whether the Home Loan banks receive a public subsidy has been settled. All that remains is for lawmakers to take steps to redirect that subsidy toward public benefits rather than corporate profits.
The Federal Housing Finance Agency's report on the system at 100 years old signals major shifts in both policy and structure are on the horizon.
The idyllic existence of Federal Home Loan bank leaders has persisted for 90 years. Now the castle walls may be crumbling.
The Federal Housing Finance Agency head has said: "The status quo is not acceptable." She could not be more correct.
If a $6.3 billion subsidy only generates a $304 million return in terms of housing and community development support, is that money well spent?
The Federal Home Loan banks and their clients were well represented in the Federal Housing Finance Agency's recent "listening tour." The public, not so much.
The system may be good for the banks that own it, but it is not meeting its public mission.
In an open letter to Sandra L. Thompson, President Biden’s nominee for director of the Federal Housing Finance Agency, two longtime advocates of the Federal Home Loan banks suggest a new path forward.
Demand for advances from the Home Loan banks has plummeted as the Federal Reserve has flooded the financial system with liquidity. But with a nudge from Congress, these government-sponsored enterprises could remain relevant by broadening their mission and opening membership to more lenders.
The administration’s executive order on financial regulation is open to interpretation, but the document will likely serve as the touchstone for financial regulators in the years ahead.