FDIC’s Hoenig Cautions Banks Against Seeking 20% Equity Return
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Thomas Hoenig, vice chairman of the Federal Deposit Insurance Corp., said banks chasing 20 percent returns are aiming too high.
At a Brookings Institution event today in Washington, Hoenig said he believes banks are pursuing such returns and the risks inherent in that goal are more suited to hedge funds. He didn’t identify specific banks.