Capital Planning and Stress Testing Requirements for Large Bank Holding Companies, Intermediate Holding Companies and Savings and Loan Holding Companies

Title:
Capital Planning and Stress Testing Requirements for Large Bank Holding Companies, Intermediate Holding Companies and Savings and Loan Holding Companies
Subject: Capital planning, stress testing
Agency: Federal Reserve
Status: Final rule
Summary:

The Board is adopting a final rule (final rule) to tailor the requirements in the Board’s capital plan rule (capital plan rule) based on risk. Specifically, as indicated in the Board’s October 2019 rulemaking that updated the prudential framework for large bank holding companies and U.S. intermediate holding companies of foreign banking organizations (tailoring framework), the final rule modifies the capital planning, regulatory reporting, and stress capital buffer requirements for firms subject to “Category IV” standards under that framework. To be consistent with recent changes to the Board’s stress testing rules, the final rule makes other changes to the Board’s stress testing rules, Stress Testing Policy Statement, and regulatory reporting requirements, such as the assumptions relating to business plan changes and capital actions and the publication of company-run stress test results for savings and loan holding companies. The final rule also applies the capital planning and stress capital buffer requirements to covered saving and loan holding companies subject to Category II, Category III, and Category IV standards under the tailoring framework.

FR Doc: 2021-02182
Date proposed: Sept. 30, 2020
Comments due date:

Nov. 20, 2020

Final rule effective date: April 5, 2021
Rule compliance date:
Agency release:
Related Reg Report item(s):

Proposal aims to bring capital planning rules into alignment with recent changes

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