Featured Product

    FSOC Approves Annual Report for 2018 at Its December Meeting

    December 19, 2018

    At its December meeting, FSOC approved the annual report for 2018. The annual report fulfills the Congressional mandate to report on the activities of FSOC, describe significant financial market and regulatory developments, analyze potential emerging threats, and make certain recommendations.

    During the executive session of the meeting, FSOC discussed potential amendments to its interpretive guidance on non-bank financial company designations, including an activities-based approach for monitoring and addressing potential risks to the U.S. financial stability. FSOC is working to develop a proposal for public comment. In addition, FSOC heard an update from its digital assets and distributed ledger technology working group. Staff gave FSOC a presentation on the working group’s interagency collaboration, analysis, and information-sharing on these issues. FSOC also discussed the upcoming implementation of the financial reporting standard adopted by FASB for current expected credit losses (CECL). FSOC members discussed the independence of FASB, the implications of this change in financial reporting, and the member agencies’ plans for alignment of capital rules under their regulatory regimes.

    The 2018 annual report highlights the following:

    • Overall, risks to U.S. financial stability remain moderate, though they have evolved since the last annual report.
    • Over the past year, FSOC member agencies have also taken steps  to make financial services regulations more efficient and effective. Five agencies proposed changes to modify requirements under the Volcker Rule, without diminishing the safety and soundness of banking entities.
    • FSOC remains focused on promoting market discipline to reduce the risk of future financial crises. While financial institutions may be more resilient to market disruptions due, in part, to the increased capital and liquidity requirements since the financial crisis, market discipline reduces the likelihood of future market disruptions resulting from unwarranted risk-taking.
    • Due to the critical role central counterparties (CCPs) play in financial markets, effective regulation and risk management of CCPs is essential to financial stability. Consistent with the requirements adopted by financial regulators, CCPs have made considerable progress in improving risk management practices and providing greater transparency in their functioning.

     

    Related Links

    Keywords: Americas, US, Accounting, Banking, Insurance, Securities, Annual Report, Meeting Readout, Financial Stability, FSOC, US Treasury

    Related Articles
    News

    EIOPA Forms Consultative Expert Group on Digital Ethics in Insurance

    EIOPA established the Consultative Expert Group on Digital Ethics in Insurance to assist EIOPA in the development of digital responsibility principles in insurance.

    September 17, 2019 WebPage Regulatory News
    News

    FASB Proposes Taxonomy Changes Related to Topics 848 and 470

    FASB proposed taxonomy improvements for the proposed Accounting Standards Update on topic 848 on facilitation of effects of reference rate reform on financial reporting.

    September 16, 2019 WebPage Regulatory News
    News

    BoE Statement on Recalculating Transitional Measures Under Solvency II

    BoE notified that it will be willing to accept applications from firms to recalculate transitional measure on technical provisions (TMTP) as at September 30, 2019.

    September 16, 2019 WebPage Regulatory News
    News

    BIS Hosts Conference to Discuss Issues from Emergence of Stablecoins

    BIS hosted a conference in Basel to discuss policy and regulatory issues posed by the emergence of stablecoin initiatives backed by financial institutions and large technology companies.

    September 16, 2019 WebPage Regulatory News
    News

    BIS Paper on Embedded Supervision of Blockchain-Based Financial Market

    BIS published a working paper that investigates ways to regulate and supervise blockchain-based financial markets.

    September 16, 2019 WebPage Regulatory News
    News

    BoE Paper on Market-Implied Systemic Risk and Shadow Capital Adequacy

    BoE published a working paper that presents a forward-looking approach to measure systemic solvency risk.

    September 13, 2019 WebPage Regulatory News
    News

    HKMA Consults on Policy Module on Pillar 2 Supervisory Review Process

    HKMA is consulting on the revised Supervisory Policy Manual module CA-G-5 that sets out the HKMA approach to conducting the supervisory review process under Pillar 2.

    September 13, 2019 WebPage Regulatory News
    News

    PRA Publishes Waiver by Consent of Continuity of Access Rules

    PRA published a new waiver by consent to waive the Continuity of Access requirements contained in the Depositor Protection Part of the PRA Rulebook (DPP).

    September 13, 2019 WebPage Regulatory News
    News

    EBA Single Rulebook Q&A: Second Update for September 2019

    EBA updated the Single Rulebook question and answer (Q&A) tool with answers to three questions.

    September 13, 2019 WebPage Regulatory News
    News

    BoE Publishes Update on Meeting of Working Group on Risk-Free Rates

    BoE published the minutes of the July meeting of working group on sterling risk-free reference rates.

    September 13, 2019 WebPage Regulatory News
    RESULTS 1 - 10 OF 3827