RegFi Podcast

RegFi co-hosts Jerry Buckley and Sherry Safchuk welcome Orrick partner Aravind Swaminathan for a conversation exploring the critical and evolving role of the Chief Information Security Officer in today’s corporate landscape. Aravind emphasizes the importance of organizational culture in the success of cybersecurity efforts and the need for CISOs to be not just technical experts but also strategic business leaders who bring their talents to bear in broader corporate governance and risk management settings. Links: Orrick Cyber, Privacy & Data Innovation Orrick Financial & Fintech Advisory RegFiPodcast.com

In this episode of RegFi, hosts Jerry Buckley and Sasha Leonhardt welcome John Coleman, Orrick partner and former Deputy General Counsel of the CFPB, to discuss the Supreme Court’s Loper Bright decision overturning Chevron deference and its potential impact on the CFPB’s regulatory authority. The conversation looks at how Chevron has been applied, the implications for the Bureau’s future rulemaking, and how the decision might shape the future of financial regulation. John provides a deep dive into the nuances of Loper Brightand suggests how it could lead to more consistent, durable rulemaking that benefits both consumers and industry participants. Links: “The Supreme Court Shifted Power from Administrative Agencies to the Courts, but Don’t Expect Major Changes at the CFPB” by John Coleman (Law360) “Supreme Court Substantially Alters Review Framework For Federal Administrative Agencies” by Robert Loeb & Geoffrey Shaw (Orrick Insight) Orrick Financial & Fintech Advisory RegFiPodcast.com

RegFi co-hosts Jerry Buckley and Caroline Stapleton welcome podcast guest Tracy Basinger, former head of supervision at the Federal Reserve Bank of San Francisco and a senior advisor at the Klaros Group. Tracy brings a unique perspective on financial innovation to the conversation, informed by 30 years of experience in the Federal Reserve System, where she led the formation of the FSR's first fintech team and established initiatives to leverage new technologies for bank supervision. The group explores regulatory developments affecting fintech and banking as a service (BaaS), the revolutionary potential of artificial intelligence in the financial services sector, and innovative supervisory approaches, such as real-time data monitoring and supervisory dashboards, to keep pace with the rapidly evolving financial technologies. Links: Klaros Group Alliance for Innovative Regulation (AIR) Orrick Financial & Fintech Advisory RegFiPodcast.com

Bob Broeksmit, President and CEO of the Mortgage Bankers Association, joins RegFi co-hosts Jerry Buckley and Caroline Stapleton to discuss the transformative impact of technology on the mortgage industry. Bob highlights the industry’s tradition of innovation, such as algorithmic underwriting and credit scoring, which has streamlined loan origination and reduced bias in lending decisions. The conversation also delves into the current interest in generative AI and how the Mortgage Industry Standards Maintenance Organization (MISMO) is creating a forum for market participants to discuss AI’s potential applications, guardrails for implementation, and the associated regulatory challenges. Links: Mortgage Bankers Association MISMO Artificial Intelligence Community of Practice Orrick Financial & Fintech Advisory RegFiPodcast.com

The FUTURES Act, a bipartisan legislative initiative recently reported by the House Financial Services Committee as part of a larger financial institutions legislative package, aims to foster technological modernization within financial regulatory agencies. In this episode, RegFi co-hosts Jerry Buckley and Sasha Leonhardt discuss the FUTURES Act and how it would address key findings from a pro bono report they authored with the Alliance for Innovative Regulation (AIR): “Financial Regulators’ Dilemma: Administrative and Regulatory Hurdles to Innovation.” The conversation highlights challenges Federal regulators currently face when adopting new technologies, including a burdensome procurement process and cultural resistance across agencies, and how the proposed legislation seeks to address these hurdles by mandating comprehensive assessments of current technology systems and requiring regular reporting on improvements and future plans. Jerry and Sasha also discuss the bill’s current status, potential impact and prospects of advancing through Congress in a contested election year. Links: Financial Regulators’ Dilemma: Administrative and Regulatory Hurdles to Innovation Orrick Financial & Fintech Advisory RegFiPodcast.com

Kate Flocken, Principal at FS Vector, shares her insights from a career steeped in legislative experience. She discusses the increasing regulatory scrutiny faced by fintechs as they transition from startups to key players. Kate emphasizes the need for proactive engagement with regulators amidst complex legislative hurdles. The potential shifts in congressional leadership during an election year are explored, shedding light on the evolving landscape of fintech public policy, including data privacy and AI challenges. A must-listen for those navigating the fintech space!

This week, RegFi co-hosts Jerry Buckley and Sasha Leonhardt welcome Ignacio Sandoval, a partner at Orrick and former special counsel in the SEC's Office of Chief Counsel, to explore the timely and complex subject of artificial intelligence in the securities industry. Their conversation covers developments at the intersection of AI technology and securities regulation and offers valuable insights into current applications, regulatory challenges and future trends. Links: Orrick Financial & Fintech Advisory RegFiPodcast.com

This discussion features Nat Hoopes, an AI expert in financial services, Chris Hilliard, who focuses on AI for legal compliance, and Ed Vincent, CEO developing AI risk management tools. They dive into AI's revolutionary role in financial regulation, emphasizing the need for transparency and ethical compliance. Topics include generative AI for legal research, challenges of AI regulation in the U.S. versus the EU, and enhancing compliance processes to prevent bias while promoting innovation. A lively exploration of the future of fintech awaits!

Not all of our listeners will be familiar with the Depository Institutions Deregulation and Monetary Control Act of 1980, but pending litigation on state DIDMCA opt outs could upend the bank partnership models employed by many fintechs. RegFi co-hosts Jerry Buckley and Sasha Leonhardt welcome Orrick partner James McGuire for an overview of DIDMCA’s interest rate exportation rules for state-chartered financial institutions and the lawsuit filed by industry groups in response to Colorado’s recent opt-out legislation. The conversation explores the critical balance between state regulations and national lending practices, including the potential implications to traditional banking, fintech innovation and consumer access to credit. Links: Orrick Financial & Fintech Advisory RegFiPodcast.com

RegFi co-hosts Jerry Buckley and Caroline Stapleton welcome Eugene Ludwig to discuss the decline in economic opportunities for middle- and low-income Americans. Gene, former Comptroller of the Currency and founder of Promontory Financial Group, shares insights from his book The Vanishing American Dream and the work of the Ludwig Institute for Shared Economic Prosperity to develop better statistical indicators for reporting economic conditions. The conversation explores regulatory, technological, and policy solutions to improve economic prospects for working-class Americans, emphasizing the role of the private sector in creating living wage jobs and proposing financial regulation reforms to foster innovation and consumer empowerment while ensuring safety and soundness. Links: Ludwig Institute for Shared Economic Prosperity The Vanishing American Dream: A Frank Look at the Economic Realities Facing Middle- and Lower-Income Americans Orrick Financial & Fintech Advisory RegFiPodcast.com