Exclusive: US Fed to tap former Wall Street lawyer Guynn for top bank oversight role, say sources

• Guynn previously led Davis Polk's Financial Institutions Group and represented the eight largest U.S. lenders, raising potential conflict-of-interest concerns similar to other Wall Street attorneys moving into regulatory roles
• The supervision division oversees the nation's largest banks and will be restructured under Bowman's plan to cut staff by approximately 30% to around 350 people through attrition and buyouts
• Guynn has criticized efforts to raise bank capital requirements and advocated for tailored prudential standards based on institution size and risk, signaling a shift toward lighter regulation

Summary: Fed Taps Wall Street Lawyer Guynn for Top Bank Oversight Role

The U.S. Federal Reserve is set to appoint Randall Guynn, a former Davis Polk & Wardwell partner, as its new director of supervision and regulation, marking a significant departure from tradition. The appointment, pending a vote by the Fed's board of governors, would place a Wall Street veteran with extensive banking industry ties in charge of policing the sector.

Key Developments:

Guynn will replace Michael Gibson, who retired in July 2025, and report to Fed Vice Chair for Supervision Michelle Bowman. Since May 2025, he has served as Bowman's advisor. This represents the first time since at least 1977 that the Fed has selected someone outside its career staff for this position.

Background and Experience:

Guynn led Davis Polk's Financial Institutions Group since 1986 and represented the nation's eight largest banks and multiple industry trade groups. He advised the NY Fed during AIG's 2008 bailout, counseled Freddie Mac during conservatorship, and guided JPMorgan's acquisition of First Republic Bank in 2023. He has recused himself from matters involving firms he represented in the past year.

Policy Implications:

The appointment aligns with Bowman's initiative to overhaul post-2008 financial crisis regulations, which she argues have become too restrictive. Her planned restructuring includes reducing the supervision division's headcount by approximately 30% to around 350 people through attrition and buyouts.

Guynn has publicly criticized efforts to raise bank capital requirements, advocating instead for prudential standards tailored to institutions' size and risk profiles. His appointment signals a potentially more industry-friendly regulatory approach at the Federal Reserve.