Financial Stability Oversight Council
Section 111 Of the Act creates anew Financial Stability Over sight Council composed of voting and non-voting members whose task it will be to mitigate systemic risk and the maintenance of system-wide financial stability. The stated purpose of the Council is: “to identify risks to the financial stability of the United States that could arise from the material financial distress or failure, or ongoing activities of large, interconnected bank holding companies or that could arise outside the financial services marketplace”.26 The council will focus on the interconnection of highly leveraged firms and will have the authority to force companies to divest holdings of their structure poses a grave threat to US financial stability.