On December 3, 2018, the data in figure 1-8 were corrected to replace unweighted data with weighted data, as originally noted.

On June 7, 2019, the data in figures 3-8, 4-2, 4-4, 4-5, and 4-6 were corrected to fix a coding error, and figure 4-5 and associated text were corrected to clarify that investment-grade bond mutual funds hold other types of assets besides corporate bonds.


This report summarizes the Federal Reserve Board's framework for assessing the resilience of the U.S. financial system and presents the Board's current assessment. By publishing this report, the Board intends to promote public understanding and increase transparency and accountability for the Federal Reserve's views on this topic.

Promoting financial stability is a key element in meeting the Federal Reserve's dual mandate for monetary policy regarding full employment and stable prices. As we saw in the 2007-09 financial crisis, in an unstable financial system, adverse events are more likely to result in severe financial stress and disrupt the flow of credit, leading to high unemployment and great financial hardship. Monitoring and assessing financial stability also support the Federal Reserve's regulatory and supervisory activities, which promote the safety and soundness of our nation's banks and other important financial institutions. Information gathered while monitoring the stability of the financial system helps the Federal Reserve develop its view of the salient risks to be included in the scenarios of the stress tests and its setting of the countercyclical capital buffer.1

The Board's Financial Stability Report is similar to those published by other central banks and complements the annual report of the Financial Stability Oversight Council, which is chaired by the Secretary of the Treasury and includes the Federal Reserve Board Chairman and other financial regulators.


 1. More information on the Federal Reserve's supervisory and regulatory activities is available on the Board's website; see the Supervision and Regulation Report( as well as the Supervision and Regulation ( and Payment Systems ( sections of the site. Moreover, additional details about the conduct of monetary policy may also be found on the Board's website; see the Monetary Policy Report( and the Monetary Policy ( section of the site. Return to text

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Last Update: June 07, 2019