Biography
Craig Sullivan, CFA, is an investment analyst at Franklin Street Partners, where he is responsible for the portfolio management of the core fixed-income and opportunistic credit strategies. Previously, he worked in portfolio management at Merrill Lynch in the private client group. Sullivan holds the Chartered Alternative Investment Analyst (CAIA) designation and is a graduate of North Carolina State University.
The financial crisis of 2008–2009 highlighted weaknesses in the way banks calculated both their capital ratios and risk-weighted assets (RWAs). Prior to the crisis, banks held too little capital on their balance sheets and did not hold enough liquid funds. These shortcomings led the banks to have large write-downs during the crisis, which in many cases required state intervention to allow the banks to remain solvent.