Journal Article
A Monetarist View of the Fed’s Balance Sheet Normalization Period
Veracierto, Marcelo (2018)
The Federal Reserve currently holds over $4 trillion in fixed-income assets. However, since the fall of 2017 the Fed has been in a ?balance sheet normalization period,? during which the size of its balance sheet is gradually shrinking over time. In particular, the Federal Open Market Committee (FOMC) has been instructing the Federal Reserve trading desk to reduce its security holdings by reinvesting principal payments only to the extent that these payments exceed gradually raising caps. These caps on redemptions will be maintained until the Fed considers that its balance sheet has reached a ...
Economic Perspectives , Issue 2 , Pages 2-14

Speech
The Federal Reserve's experience purchasing and reinvesting agency MBS: remarks at the Bank of England, London
Potter, Simon M. (2019-03-07)
Remarks at the Bank of England, London.
Speech , Paper 311

Speech
Interest rate control during normalization
Potter, Simon M. (2014-10-07)
Remarks at the SIFMA Conference on Securities Financing Transactions, New York City.
Speech , Paper 145

Report
The early years of the primary dealer system
Garbade, Kenneth D. (2016-06-01)
This paper presents a history of the primary dealer system from the late 1930s to the early 1950s. The paper focuses on two formal programs: the ?recognized? dealer program adopted by the Federal Reserve Bank of New York in 1939 and the ?qualified? dealer program adopted by the Federal Open Market Committee (FOMC) in 1944 and abandoned in 1953. Following his selection as Manager of the System Open Market Account (SOMA) in 1939, Robert Rouse formalized the New York Fed?s system of ?recognized? dealer counterparties. Although the Bank typically dealt with recognized dealers, it also did ...
Staff Reports , Paper 777

Journal Article
Considerations for the Longer-Run Maturity Composition of the Federal Reserve’s Treasury Portfolio
Sengupta, Rajdeep; Smith, Andrew Lee (2024-08-28)
The Federal Reserve’s Treasury portfolio is weighted toward long-duration assets, reflecting large-scale asset purchases deployed after the financial crisis and again during the pandemic. In the longer run, policymakers may prefer to return to a shorter-duration Treasury portfolio like the Fed maintained before 2008. However, the exact composition of the portfolio will depend on how policymakers balance competing considerations: policy space, interest rate risk, market neutrality, and safe-asset provision.
Economic Bulletin

Speech
Concluding remarks at the Monetary Policy Implementation in the Long Run Conference, Federal Reserve Bank of Minneapolis
Potter, Simon M. (2016-10-20)
Remarks at the Monetary Policy Implementation in the Long Run Conference, Federal Reserve Bank of Minneapolis, Minneapolis, Minnesota.
Speech , Paper 220

Speech
Money Market Developments: Views from the Desk
Logan, Lorie (2019-11-04)
Remarks at the Annual Primary Dealer Meeting, Federal Reserve Bank of New York, New York City.
Speech , Paper 333

Speech
Implementation of open market operations in a time of transition
Potter, Simon M. (2014-10-25)
Remarks before the Japan Center for Economic Research, Tokyo, Japan.
Speech , Paper 142

Speech
Market Intelligence and the Monetary Policy Process
Perli, Roberto (2024-09-24)
Remarks at the Deutsche Bundesbank – Representative Office New York, New York City.
Speech

Speech
Balance Sheet Basics, Progress, and Future State
Remache, Julie (2024-02-07)
Remarks at Fixed Income Analysts Society, Inc. Women in Fixed Income Conference, Federal Reserve Bank of New York, New York City.
Speech