Results from stress tests and capital analysis for banks will be released in two and three weeks, respectively, the Federal Reserve said Thursday.
The results from the latest supervisory stress tests conducted as mandated by of the Dodd-Frank Act Wall Street Reform and Consumer Protection Act of 2010 (Dodd-Frank) will be released June 21, the Fed said in a release. The stress tests gauge the capital adequacy of banks to absorb losses – even in a serious recession — and still be able to provide loans to households and businesses. “
“The Dodd-Frank Act stress tests are a forward-looking assessment of capital sufficiency using standard capital plan assumptions across all firms,” the Fed noted.
The results of the related Comprehensive Capital Analysis and Review (CCAR) will be released on June 28, the Fed said. The CCAR analysis, according to the Fed, evaluates the capital planning practices and capital adequacy of the largest domestic and foreign bank holding companies, using the firms’ planned capital actions such as dividend payments and share buybacks and issuances.
Both sets of results will become public at 4:30 p.m. ET on the days of release.
Federal Reserve Board announces schedule for results from Dodd-Frank Act stress tests and Comprehensive Capital Analysis and Review (CCAR)