>> that is for the fsb. as far as -- i think what is important is that we have a meeting in new york tomorrow, the standing committee on risk of the fsb and i guess we will discuss iosco's position. let's face it, at the end of the day we are the regulator and standard setter for funds management around the world. it's not the financial stability board. i think that is clear. >> it seemed like a few months ago doubling down on approach for asset managers. can you walk us through how you got from that to reversing course on the plan? >> i have been involved in this for a while. my background was in asset management. i think it has been a journey. the journey should be establish the problem, the facts and then decide a solution. i have been troubled that we seem to be developing a solution before we develop the problem. so i think that's why we have ended up where we have is to say -- i think you see the fsb second consultation where we say let's focus on activities. i think it has been evolutionary process. i

simple question, until fcc finishes their process do you think fsb should stand down in this area?that's a simple yes or no question too. >> i don't know the schedule at fsb. >> i just asked you -- >> i don't think that the fsb can time all of its actions. >> i doubt that they can but can you assert your authority in that regard to try to do so? >> look it, this consensus process, let's understand what it's about. >> i'm not trying to get the consensus process. i'm trying to ask you if you would use your authority to represent the american companies on their behalf? >> i would have to look at where we were and where they were and make a judgement at the time. >> the time of the gentleman has expired and the chair now recognizes the gentle lady from new york, miss velasquez. >> thank you, mr. i rememberchairman. >> mr. secretary, we have held a number of cybersecurity hearings this year in the small business committee to examine the toll of cyber attacks on consumers and businesses. many of the witness estated a clear, uniformed set of rules was needed to address this problem. can y

we want to be more inclusive at exit -- at fsb so we don't get the wrong answer. globalization is a fact of life. that is the other trend i did not mention before. the markets are globalized. frankly, we are globalized. we are in markets. therefore it is essential we work more and more globally, and a do believe it is working well. something's work well another things are still in training. i believe the issue of derivatives -- and if you look at the history of crises throughout history, one thing we know is that normally it is fine to recognize that markets have changed and become more global. quite often, you end up with a process. history doesn't repeat itself but it rhymes very well. we are just going through another lesson of history. and we will learn again. we are shaped by change. >> dam easy with thompson information services. given the global --dan macy with thompson information services. given the global nature of what you're doing, does that apply to the asset history? >> i think it is a great initiative of the financial stability board. that ability t

until they finalize we will you go to fsb and suggest they make no final determination?>> and that asking the basic issue. >> i don't think they are at all identified's. >> i understand. [inaudible conversations] >> as a member of fsb were you told us repeatedly it is done on a consensus basis will you go back and try to get a consensus, you would ask them to stand down for now. >> will we are doing is trying to make sure there is a complete review. >> got you. i understand all of that. there are diplomatic command all the rest. will you use your capacity? >> i don't know the precise schedule. >> did not think that you did. >> i don't think that the fsb can time all of its actions. >> i doubt that they can. can you assert your authority to try? >> this consensus process, understand what it's about. [inaudible conversations] [inaudible conversations] >> i would have to look at where we were and where they were and make a judgment. >> the time of the gentleman has expired. >> thank you. mr. secretary we have held a number of cyber security hearings to examine cyber attacks

now the fsb has taken on this name of sustainable market-based financing. three points. the first is the fact that the agenda has for some time been driven necessarily by financial stability and systemic risk considerations. as david said earlier, there were dark times back then. and there hasn't been really a focus on the role market-based financing can play in funding the real economy. i think that is now where we are today. we need to focus on not what happened then, but how we can take that sort of market-based financing technology and use it to help now, moving more into a growth agenda. again, i think what's important, we need to forget about how we assess the risk posed by market-based financing. . about the nature and -- frankly, if you think about regulators who focus on enforcement. before we take something to court we have to make sure we have enough evidence to make a case. here we need to make sure that we have fact-based decisionmaking. evidence-based. we should only progress thinking about solutions. once there is a problem. that's logical. i want to make

until they finalize we will you go to fsb and suggest they make no final determination? >> the basic issue. >> and that asking the basic issue. >> i don't think they are at all identified's. >> i understand. [inaudible conversations] >> as a member of fsb were you told us repeatedly it is done on a consensus basis will you go back and try to get a consensus, you would ask them to stand down for now. >> will we are doing is trying to make sure there is a complete review. >> got you. i understand all of that. there are diplomatic command all the rest. will you use your capacity? >> i don't know the precise schedule. >> did not think that you did. >> i don't think that the fsb can time all of its actions. >> i doubt that they can. can you assert your authority to try? >> this consensus process, understand what it's about. [inaudible conversations] [inaudible conversations] >> i would have to look at where we were and where they were and make a judgment. >> the time of the gentleman has expired. >> thank you. mr. secretary we have held a number of cyber security hearings to

today our average fsb and is 24 years old.15 years just before we start deploying the ohio replacement summary our fsb ends will average 37 years old. that is older than we have ever taken a single nuclear submarine. we're talking about taking an entire class with an average age of 37 years old command we will have to depend on an average 37 -year-old submarine force to reliably maintain the same patrol cycle as they did when they were brand-new. today our ohio class is meeting all mission requirements as you would expect but there are challenges. only because of a significant effort i'll be able to continue. we are still overcoming the impact of previous year fiscal cutbacks and shortfalls, previous sequestration, government shutdown. some of those things still have cascading effects on the maintenance and training these mental a preparation for deployment and delay deployment in turn required us to extend deployments for those units that were already on station. a perfect a perfect example of this from this past year is the

and fsb think you'll be able to issue cards without social screen numbers on them? >> first, let me say thank you, having put this in the budget when it first arrived at omb i thought as i told you on article it would take years so thank you for your leadership and effort on this. we were pleased and i was personally very excited. right now we're putting together the work plans to do that. we have an established exact timetable put us as it was passed, the next as the team for the workplace. we want to do as quickly as possible and in ways that will serve the consumers. the are a lot of medicare consumers are going to make sure we're not disrupting them for their services but we very quickly want to do because, like you we believe this is an important part of privacy and security. >> well, i thank lloyd doggett for helping me with that. but how easy do you think you can make it for seniors to get a new car to? >> i think that's the part in terms of us in the tiny because we wanted to be easy for seniors and make sure they understand. want to do things we don't want

until they finalize we will you go to fsb and suggest they make no final determination?the basic issue. >> and that asking the basic issue. >> i don't think they are at all identified's. >> i understand. [inaudible conversations] >> as a member of fsb were you told us repeatedly it is done on a consensus basis will you go back and try to get a consensus, you would ask them to stand down for now. >> will we are doing is trying to make sure there is a complete review. >> got you. i understand all of that. there are diplomatic command all the rest. will you use your capacity? >> i don't know the precise schedule. >> did not think that you did. >> i don't think that the fsb can time all of its actions. >> i doubt that they can. can you assert your authority to try? >> this consensus process, understand what it's about. [inaudible conversations] [inaudible conversations] >> i would have to look at where we were and where they were and make a judgment. >> the time of the gentleman has expired. >> thank you. mr. secretary we have held a number of cyber security hearings to exam

i look across at the kgb people and wonder how they were promoted up to the top level of the fsb. the tsarnaev brothers, the surveillance on them was that they were in chechnya. they went to mosque in dagestan. when they were in chechnya, they worshiped at home. they read it to me, and i wondered how did they know they were worshiping at home if they didn't have surveillance on the tsarnaev brothers in the home they were living in in chechnya. it is fairly intrusive. on the other hand, in this country, we need the limits of the constitution. who will pay for the data? we can't ask the telecoms to maintain data for a long amount of time at an expense and direct them to do that. that would be an unfair and did -- an unfunded mandate to the private sector. i believe that would be a legitimate investment. it would be substantially cheaper to ask the telecoms to maintain that data than it would be to build a $2 billion data collection and maintenance center in utah. host: joe from maryland, you are next. caller: good morning. are you familiar with the russian subsidiary to the atomic -