It's high time to talk about reducing risk in the banks, former Bank of America Wealth Management President Sallie Krawcheck said Thursday on CNBC.
On "Fast Money," she said that it was "probably pretty unlikely" that any of the too-big-to-fail financial institutions would be broken up.
"Heck, we couldn't even do money fund reform, which is pretty clear we need, given the risk there," she said.
Krawcheck said that the problem was not being addressed.
"What we do really need to have a discussion of – and we're not, as a country – is reducing the risks in the banks. Is the risk wrung out to good enough degree? Is there enough capital?" she said.
"That's not a discussion we're having head-on right now."
Krawcheck also said she wasn't surprised by the run-up in financial sector stocks.
"What we're seeing here is not atypical," she said. "We just need the market to keep going in order for the banks – which are really levered plays on interest rates, on the markets – we need to see where they go from here."