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.
2018-08-07 07:33:00 Tuesday ET

President Trump sounds smart when he comes up with a fresh plan to retire $15 trillion national debt. This plan entails taxing American consumers and produc
2018-09-11 18:36:00 Tuesday ET

President Trump tweets that Apple can avoid tariff consequences by shifting its primary supply chain from China to America. These Trump tariffs on another $
2018-12-29 09:32:00 Saturday ET

Andy Yeh Alpha (AYA) AYA Analytica financial health memo (FHM) podcast channel on YouTube December 2018 AYA Analytica is our online regular podcast and news
2019-05-01 09:27:00 Wednesday ET

Apple settles its 2-year intellectual property lawsuit with Qualcomm by agreeing to a multi-year patent license with royalty payments to the microchip maker
2023-06-21 12:32:00 Wednesday ET

Michael Sandel analyzes what money cannot buy in stark contrast to the free market ideology of capitalism. Michael Sandel (2013) What money
2022-03-05 09:27:00 Saturday ET

Addendum on empirical tests of multi-factor models for asset return prediction Fama and French (2015) propose an empirical five-factor asset pricing mode