What reforms to the financial system might reduce its exposure to systemic risk?

The Dodd-Frank Wall Street Reform and Consumer Protection Act

Explanation:

The Dodd-Frank Wall Street Reform Act, which President Donald Trump wants to dismantle, generated an arsenal of rules to avoid excesses of the US financial sector that unleashed the 2008-2009 crisis.

Voted in July 2010 on the impulse of then President Barack Obama, that law forces bank giants sometimes annually to tests that measure their resistance to financial crises. It is a way to avoid catastrophic bankruptcies like that of Lehman Brothers in September 2008.

Large banks also have to make a "will" that allows their orderly dismantling if they fail and cannot return dividends to shareholders without the permission of the Federal Reserve (Fed).