WASHINGTON (AP) — Federal Reserve Chair Janet Yellen says the country's largest financial institutions are still falling short of managing the types of risks that led to the 2008 financial crisis.
Yellen says that breakdowns in compliance at the nation's biggest banks in recent years have undermined confidence and could pose threats to financial stability.
The group includes the eight largest banks in the United States, a number of major foreign banks operating in the United States and several large institutions that have been judged systemically important.
Yellen's comments came in testimony before the House Financial Services Committee. The committee's Republican members have been critical of many of the regulatory changes the Fed is undertaking to implement the 2010 Dodd-Frank Act.