Solving the too-big-to-fail problem in banking just got international. Authorities could seize a Global Systematically Important Financial Institution (GSIFI) — and dismantle it as appropriate — under a joint plan by the Federal Deposit Insurance Corporation (FDIC) and the Bank of England released Monday.
“For many GSIFIs, this strategy holds the best possibility of preserving stability while removing taxpayer support,” wrote FDIC chairman Martin Gruenberg....