The SEC has announced the formation of a new division, dubbed the Division of Risk, Strategy, and Financial Innovation. According to the Commission's announcement, this new division will combine the existing Office of Economic Analysis (OEA) and Office of Risk Assessment (ORA), and will provide the Commission with sophisticated analysis "that integrates economic, financial, and legal disciplines" in the areas of risk and economic analysis, strategic research, and financial innovation. The new division will "perform all of the functions previously performed by OEA and ORA, along with the following:
- strategic and long-term analysis;
- identifying new developments and trends in financial markets and systemic risk;
- making recommendations as to how these new developments and trends affect the Commission's regulatory activities;
- conducting research and analysis in furtherance and support of the functions of the Commission and its divisions and offices; and
- providing training on new developments and trends and other matters.
Chairman Mary Schapiro has named Professor Henry Hu of the University of Texas School of Law as the division's first director.
The Commission's press release announcing the new division is available at: http://www.sec.gov/news/press/2009/2009-199.htm