FSB publishes second annual report

The Financial Stability Board has published its second annual report: see here (pdf). This provides an overview of the FSB's past activities as well as highlighting current and future work. According to the FSB, the scale of misconduct in some financial institutions has risen to a level that could create systemic risks. For this reason, the FSB is assessing the potential of various reforms to reduce the likelihood of misconduct, including in the areas of risk governance, compensation structures and benchmarks.