For many years, Phil Meyer and I were colleagues in a now-vanished consulting firm. Phil’s specialty, then and ever since, has been federal legislation and regulation of importance to banks and other financial firms. I have no hesitation in saying that much of what I have learned about this subject came from him. So when Phil called several days ago to ask if I was interested in an analysis of the many misconceptions about the recent financial modernization legislation, my response was a resounding "yes." His piece appears below as the year’s fourth report: "The Myths of Gramm-Leach-Bliley."

Phil’s report does not break new ground. What it does is the important job of separating what was in fact accomplished from what was claimed by the Act’s champions, and largely repeated by the financial press. Only in this way is it possible to assess the value of the new legislation, to compare its accomplishments with earlier, often quite extensive, modernization legislation, and, most important, get a better handle on what still remains to be done.

For the many readers who have enjoyed Phil’s writing over the years a biographical up-date is called for. He served as the editor of Banking Policy Report for eight years, until 1997, and he continues as a senior advisor to the Secura Group, a Washington-based financial services consulting firm. He has been the guest author of many of these reports during the past 30 years. It is a pleasure to welcome him once again.

Carter H. Golembe

April 21, 2000