2019-04-19 12:35:00 Fri ET
stock market competition macrofinance stock return s&p 500 financial crisis financial deregulation bank oligarchy systemic risk asset market stabilization asset price fluctuations regulation capital financial stability dodd-frank
Federal Reserve proposes to revamp post-crisis rules for U.S. banks. The current proposals would prescribe materially less strict requirements for community banks and regional financial institutions with less systemic risk exposure, whereas, the most stringent requirements remain for big banks that pose the greatest risks to the U.S. financial system. The most stringent requirements include the Dodd-Frank macroprudential stress tests that focus on the main vulnerable parts of the financial system such as residential mortgages, auto loans, and corporate credit lines. The new rules would significantly reduce regulatory barriers for small community banks and regional financial institutions. Specifically, the smaller deposit-takers operate within the reasonable range of $100 billion-$250 billion in total assets. U.S. banks that operate with $250+ billion total assets (or $75 billion cross-jurisdictional capital flows) would continue to meet the same prudential standards such as high liquidity coverage and sufficient core equity capital adequacy etc.
The U.S. globally systemically important banks (GSIBs) would continue to conduct the Federal Reserve macro stress tests each year, but these GSIBs would report the test results only once every 2 years. These recent institutional arrangements help ensure a balance between macro-financial stabilization and micro-prudential deregulation.
If any of our AYA Analytica financial health memos (FHM), blog posts, ebooks, newsletters, and notifications etc, or any other form of online content curation, involves potential copyright concerns, please feel free to contact us at service@ayafintech.network so that we can remove relevant content in response to any such request within a reasonable time frame.
2019-01-15 13:35:00 Tuesday ET

Americans continue to keep their financial New Year resolutions. First, Americans should save more money. Everyone needs a budget to ensure that key paychec
2018-11-09 11:35:00 Friday ET

The Internet inventor Tim Berners-Lee suggests that several tech titans might need to be split up in response to some recent data breach and privacy concern
2018-01-02 12:39:00 Tuesday ET

Goldman Sachs takes a $5 billion net income hit that results from its offshore cash repatriation under the new Trump tax law. This income hit reflects 10%-1
2019-10-29 13:36:00 Tuesday ET

The OECD projects global growth to decline from 3.2% to 2.9% in the current fiscal year 2019-2020. This global economic growth projection represents the slo
2023-08-21 12:25:00 Monday ET

Steven Shavell presents his economic analysis of law in terms of the economic outcomes of both legal doctrines and institutions. Steven Shavell (2004)
2018-11-05 10:40:00 Monday ET

Former Fed Chair Janet Yellen worries about U.S. government debt accumulation, expects new interest rate increases, and warns of the next economic recession