When you look at Brian Moynihan, do you see a man ready for disaster? A pair of safe hands? The kind of calm, collected figure who can nimbly navigate rough waters without a detailed, tested plan in hand? Neither does the Fed. It does not want to see BriMoy improvising when the chips are down—and it’s not afraid to say so.
The Fed, which administers the annual tests to gauge whether big banks can withstand another financial shock, has told Bank of America it doesn’t believe its management is forward-looking enough and instead merely reacts to problems after they are raised by regulators, some of these people said.
Don’t worry about it, though: When he’s not answering the questions of children, trying to make his customers in the largest and third-largest states in the country happy, working out permutations of brianmoynihansucks.com, signing giant checks, being shunned by the Attorney General or trying to justify his bank’s very existence, he’s got his full attention on this issue.
Chief Executive Brian Moynihan “is keeping the heat on everyone to get this on track, and he’s leaving no stones unturned in terms of marshaling resources,” said a bank spokesman….
The stress-test consultants, plus internal staff, are examining a number of issues, including how management communicates with the board and whether risk-related decision making is too centralized at headquarters, according to people familiar with the matter.