Interesting opinion piece. Will be interesting to see regulatory response to recent banking collapses. Refocus to principles-based regulation? Bolstered governance expectations? Elevated QRM? Escalated capital requirements for strategic risks? Reset of regulatory intensity or proportionality hurdles? Re-weighting of industry vs entity regulatory risks? Executive compensation clawbacks? Mandated independent board directors?

Principal-agent theory. There will probably always be bad actor CEOs that prioritize professional glory; personal compensation; office/industry politics; and/or short-term performance over long-term organizational sustainability and owner/member interests.