Topic: Federal Reserve Board

Fed admits stress-testing error

Goldman Sachs and Morgan Stanley’s capital requirements have been revised after the Federal Reserve admitted errors in its most recent stress tests.

08 September 2020

US regulators pave way for higher capital distributions despite dissent

US banking regulators have finalised a measure allowing banks to make higher capital distributions under stressed financial conditions, over the objections of the minority members of the Federal Reserve and FDIC boards.

28 August 2020

US and Brazil unveil instant payment systems

The US Federal Reserve has announced details of its interbank payment service FedNow despite scepticism over potential competition with the private sector, as the Brazilian central bank reveals a launch date for its own new payments system network, Pix.

14 August 2020

Fed caps dividends after 2020 stress tests

The Federal Reserve has announced caps on dividends and a ban on share repurchases after conducting its annual stress tests, along with a newly-introduced sensitivity analysis to consider a range of coronavirus-related recession scenarios.

03 July 2020

Federal Reserve adds coronavirus scenarios to stress tests

The US Federal Reserve will include a coronavirus-specific sensitivity analysis in its annual stress test, in what will determine whether banks can sanction shareholder pay-outs and share buybacks.

22 June 2020

Asset class consistency key in pre-cessation trigger, ISDA finds

Market participants have told the International Swaps and Derivatives Association (ISDA) to add a pre-cessation trigger to inter-bank offered rate fallback documentation, highlighting consistency across asset classes and within derivative markets as a prerequisite.

18 May 2020

BoE staggers Libor haircuts to mirror FCA delays

The Bank of England has altered its roadmap for phasing out the use of the Libor interest rate benchmark by UK banks to April next year, mirroring a delay announced by the Financial Conduct Authority last month.

11 May 2020

“No limit” on duration of Federal Reserve coronavirus lending

Major US banks are ramping up for a mass lending effort as part of the Coronavirus Aid, Relief, and Economic Security (CARES) Act, as the US Federal Reserve chair says there will be “no limit” on the duration of tis financial support during the covid-19 crisis.

09 April 2020

“Teammates”: US banks receptive to Covid-19 measures as CECL implementation delayed

Practitioners say US banks are responding positively to measures taken to resuscitate the economy following the coronavirus outbreak, as the US Senate postponed the implementation of a controversial new accounting standard as part of its US$2.2 trillion stimulus package.

27 March 2020

Global regulators announce coronavirus measures

Regulators across the world are easing capital restrictions in response to the COVID-19 pandemic – with the Bank of England warning UK banks not to use freed-up cash for bumping up bonuses and dividends.

13 March 2020

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