Dallas Federal Reserve President Robert Kaplan became the second regional central bank leader to resign Monday, saying he was topping down early following a recent controversy over stock market trades he made.
Kaplan’s early retirement follows an announcement earlier in the day from Boston Fed President Eric Rosengren, who said he will step down as well but cited health concerns and not the issue over his investment portfolio activity.
“The Federal Reserve is approaching a critical point in our economic recovery as it deliberates the future path of monetary policy. Unfortunately, the recent focus on my financial disclosure risks becoming a distraction to the Federal Reserve’s execution of that vital work,” Kaplan said in a statement.
Controversy had swirled over the issue following disclosures that Kaplan in particular had been executing large-dollar trades in big-name companies such as Amazon, Apple and Delta Airlines. The Wall Street Journal first reported the trades.
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