Federal Reserve Board Finalizes Revisions to Its Supervisory Rating Framework
2 Articles
2 Articles
The president once again charges Jerome Powell, whom he described as “stupid,” and denounces that there are internal pressures that prevent him from being removed. While the White House outlines what will be the Fed’s biggest reorganization in years, Trump promises a radical shift in monetary policy to free the U.S. economy from the “last” of the current president of the central bank. Donald Trump revived his confrontation with Federal Reserve P…
Federal Reserve Board Finalizes Revisions to Its Supervisory Rating Framework
The FRB will focus on overall safety and soundness rather than single deficiencies, allowing more large financial institutions to qualify as “well managed.”By Arthur S. Long, Pia Naib, and Deric BeharKey Points: Under the updated framework, banks can maintain a single “deficient-1” rating across the components of capital, liquidity, and governance and controls while still being considered “well managed.” Banks with a single “deficient-1” rating …
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