# Dodd-Frank Act - Title 1: Financial Stability (Part 2)

In this article we understand in some detail the sub-titles of Title 1.

The Council is authorized to make recommendations to the Federal Reserve concerning the establishment and refinement of prudential standards and reporting and disclosure requirements applicable to systemically important companies, to prevent or mitigate risk to U.S. financial stability that could arise from the material financial distress, failure or ongoing activities of these companies.

In making recommendations, the Council may differentiate among systemically important companies on an individual basis or by category, taking into consideration their capital structure, riskiness, the scope and complexity of their financial activities’ riskiness and any other risk related factors that the Council deems appropriate.