The passive relationship the Federal Reserve has with large fund investors, such as Vanguard and BlackRock, is no longer acceptable for Federal Deposit Insurance Corporation Director Jonathan McKernan.

Last week, the Wall Street Journal reported the FDIC’s plan to increase oversight of large asset managers. McKernan seeks to give the FDIC power to supervise large fund managers’ investment choices once they approach a certain ownership threshold to ensure they do not have undue influence on banks and the economy, a process the Fed already regulates.