FED published draft the reporting form (FR VV-1) and instructions in connection with the Volcker rule amendments that were finalized in November 2019. FED also published the related technical specifications guidance for preparing and submitting the quantitative measurements. Each banking entity that meets the relevant thresholds must furnish quantitative measurements, as applicable, for each of its trading desks engaged in covered trading activity. The instructions for preparing and submitting quantitative measurement information provide guidance for the submission of the Narrative Statement, the trading desk information schedule, the quantitative measurements information schedules, and each applicable quantitative measurement to the agency. In addition, FED published a supporting statement for FR Y-9 reports.
For preparing quantitative measurements with respect to the form FR VV-1, if a banking entity and one or more of its affiliates are required to report quantitative measurements to the agency, the banking entity and its affiliates should prepare one combined submission to the agency that follows the instructions, the technical specifications guidance, and the XML schema. Banking entities with significant trading assets and liabilities are required to report metrics for each trading day of the month on a quarterly basis. The metrics must be reported within 30 days of the end of each calendar quarter, unless otherwise notified by the agency in writing. The banking entity may submit in a separate electronic document a Narrative Statement to the agency with any information the banking entity views as relevant for assessing the information reported. The Narrative Statement may include further description of or changes to calculation methods, identification of material events, description of and reasons for changes in the banking entity’s trading desk structure or trading desk strategies, and when any such changes occurred.
The supporting statement for FR Y-9 reports explains that FED adopted changes to the FR Y-9C in relation to a final rule that simplifies the capital framework of FED while preserving strong capital requirements for large firms. In connection with the final rule, FED modified the FR Y-9C for holding companies subject to the capital plan rule to collect information regarding a firm’s stress capital buffer requirement, global systemically important bank (G-SIB) surcharge, countercyclical capital buffer amount, as applicable, and any applicable distribution limitations under the regulatory capital rule. The revisions will become effective for the December 31, 2020 report date.
- Reporting Form FR VV-1 (PDF)
- Reporting Instructions for FR VV-1 (PDF)
- Technical Specifications Guidance (PDF)
- Supporting Statement for FR Y-9 Reports
- Reporting Form Updates
Keywords: Americas, US, Banking, Securities, Volcker Rule, Dodd-Frank Act, Reporting, FR VV-1, Regulation VV, Market Risk, FR Y-9C, Regulatory Capital, Capital Buffer, Basel, FED
Previous ArticleFDIC Rule to Mitigate Effects of Participation in Liquidity Programs
BIS published the September issue of the Quarterly Review, which contains special features that analyze the rapid rise in equity funding for financial technology firms, the effectiveness of policy measures in response to pandemic, and the evolution of international banking.
The Basel Committee for Banking Supervision (BCBS) met in September 2021 and reviewed climate-related financial risks, discussed impact of digitalization, and welcomed efforts by the International Financial Reporting Standards (IFRS) Foundation to develop a common set of sustainability reporting standards
The Office of the Comptroller of the Currency (OCC) issued a Cease and Desist Order against MUFG Union Bank for deficiencies in technology and operational risk governance.
The European Commission (EC) published the Delegated Regulation 2021/1527 with regard to the regulatory technical standards for the contractual recognition of write down and conversion powers.
In a response to the questions posed by a member of the European Parliament, the President Christine Lagarde highlighted the commitment of the European Central Bank (ECB) to an ambitious climate-related action plan along with a roadmap, which was published in July 2021.
The Single Resolution Board (SRB) published a Communication on the application of regulatory technical standard provisions on prior permission for reducing eligible liabilities instruments as of January 01, 2022.
The Australian Prudential Regulation Authority (APRA) published a new set of frequently asked questions (FAQs) to provide guidance to authorized deposit-taking institutions on the interpretation of APS 120, the prudential standard on securitization.
The French Prudential Control and Resolution Authority (ACPR) published the corrective version of the RUBA taxonomy Version 1.0.1, which will come into force from the decree of January 31, 2022.
The European Commission (EC) announced that Nordea Bank has signed a guarantee agreement with the European Investment Bank (EIB) Group to support the sustainable transformation of businesses in the Nordics.
The Australian Prudential Regulation Authority (APRA) published a new set of frequently asked questions (FAQs) to clarify the regulatory capital treatment of investments in the overseas deposit-taking and insurance subsidiaries.