Office of Financial Research Update: 2017 Annual Report To Congress And 2017 Financial Stability Report

The OFR released its 2017 Annual Report to Congress and 2017 Financial Stability Report. The reports say overall risks to financial stability remain moderate, similar to a year ago. New vulnerabilities have emerged over the past year, while financial-system resilience has improved, according to the reports.

The 2017 Annual Report to Congress fulfills our statutory requirement to assess the state of the United States financial system, including analyzing potential threats to financial stability, documenting progress in meeting our mission, and describing our key findings. We assess threats to financial stability by weighing vulnerabilities against resilience in the financial system. Our overall risk assessment is unchanged from last year: Threats to financial stability are moderate. But underneath that assessment are changes in the balance between vulnerabilities and resilience.

The OFR 2017 Financial Stability Report presents our annual assessment of U.S. financial stability. The financial system is now far more resilient than it was at the dawn of the financial crisis 10 years ago. But new vulnerabilities have emerged. Chapter 1 in this report highlights three potential threats to financial stability: vulnerability to cybersecurity incidents, resolution risks at systemically important financial institutions, and evolving market structure. Chapter 2 concludes that overall financial stability risks remain in a medium range, although market risks are elevated. This report supplements our 2017 Annual Report to Congress.

The OFR announced the reports in a press release at: https://www.financialresearch.gov/press-releases/2017/12/05/office-of-financial-research-reports-on-risks-to-financial-stability/.

The 2017 Annual Report to Congress can be found at: https://www.financialresearch.gov/annual-reports/2017-annual-report/. 

The 2017 Financial Stability Report can be found at: https://www.financialresearch.gov/financial-stability-reports/2017-financial-stability-report/.

The OFR home page is at: https://www.financialresearch.gov/.