Featured Product

    FED to Temporarily Revise FR Y-14 Reports to Conduct Stressed Analysis

    FED is proposing to temporarily revise the capital assessments and stress testing reports (FR Y-14A/Q/M) to implement the changes necessary to conduct stressed analysis in connection with the re-submission of capital plans, using data as of June 30, 2020. FED is proposing to revise and extend, for three years, the FR Y-14A/Q/M reports, thus allowing it to require firms to submit additional FR Y-14A and FR Y-14Q data in connection with any future re-submissions of their capital plans. Comments on this proposal must be submitted on or before November 16, 2020. The draft supporting statement and forms and instructions for FR Y-14 reports have been also published.

    On June 25, 2020, FED notified certain large firms that they would be required to resubmit and update their capital plans later this year, for additional analysis by FED, as economic conditions evolve. This additional analysis will include the global market shock and the largest counterparty default, or LCPD, components. FED has temporarily revised the FR Y-14A/Q/M reports to collect an additional full or partial FR Y-14A submission that includes stressed largest counterparty default data submitted on FR Y-14A, Schedule A (Summary) as well as additional stressed counterparty data submitted on FR Y-14Q, Schedule L (Counterparty), both as of June 30, 2020.

    The temporary revisions require the submission of data as of June 30, 2020 and all data associated with these temporary revisions are due to 45 calendar days following the publication of the scenarios. All data associated with these temporary revisions must be accompanied by an attestation signed by the chief financial officer or equivalent senior officer. Conducting additional analysis with data as of that date will enable FED to ensure that firms subject to the stress tests are adequately capitalized and able to withstand the economic effects of the COVID-19 pandemic.

    If FED needs to conduct additional analysis in connection with the re-submission of the capital plans of firms in the future, FED would need certain data. Therefore, FED proposes to revise the FR Y-14A instructions to indicate that FED may require submission of the full or partial FR Y-14A report, including stressed data associated with the largest counterparty default, in connection with the re-submission of the capital plan of a firm. FED also proposes to revise the FR Y-14Q instructions to indicate that FED may require submission of stressed FR Y-14Q, Schedule L (Counterparty) data in connection with the re-submission of the capital plan of a firm.

     

    Related Links

    Comment Due Date: November 16, 2020

    Keywords: Americas, US, Banking, COVID-19, Reporting, FR Y-14, Regulatory Capital, Stress Testing, Sensitivity Analysis, DFAST, FED

    Featured Experts
    Related Articles
    News

    FED Revises Capital Planning and Stress Testing Requirements for Banks

    FED finalized a rule that updates capital planning requirements to reflect the new framework from 2019 that sorts large banks into categories, with requirements that are tailored to the risks of each category.

    January 19, 2021 WebPage Regulatory News
    News

    ECB Releases Results of Bank Lending Survey for Fourth Quarter of 2020

    ECB published results of the quarterly lending survey conducted on 143 banks in the euro area.

    January 19, 2021 WebPage Regulatory News
    News

    ESAs Publish Reporting Templates for Financial Conglomerates

    ESAs published the final draft implementing technical standards on reporting of intra-group transactions and risk concentration of financial conglomerates subject to the supplementary supervision in EU.

    January 18, 2021 WebPage Regulatory News
    News

    EBA Publishes Report on Asset Encumbrance of Banks in EU

    EBA published the annual report on asset encumbrance of banks in EU.

    January 18, 2021 WebPage Regulatory News
    News

    MAS Revises Guidelines on Technology Risk Management

    MAS revised the guidelines that address technology and cyber risks of financial institutions, in an environment of growing use of cloud technologies, application programming interfaces, and rapid software development.

    January 18, 2021 WebPage Regulatory News
    News

    US Agencies Publish Updates for Call Reports, FFIEC 101, and FR Y-9C

    FED updated the reporting form and instructions for the FR Y-9C report on consolidated financial statements for holding companies.

    January 15, 2021 WebPage Regulatory News
    News

    EBA Proposes Guidelines for Establishing Intermediate Parent Entities

    EBA issued a consultation paper on the guidelines on monitoring of the threshold and other procedural aspects of the establishment of intermediate EU parent undertakings, or IPUs, as laid down in the Capital Requirements Directive.

    January 15, 2021 WebPage Regulatory News
    News

    EC Adopts Financial Reporting Changes Arising from Benchmark Reforms

    EC published Regulation 2021/25 that addresses amendments related to the financial reporting consequences of replacement of the existing interest rate benchmarks with alternative reference rates.

    January 14, 2021 WebPage Regulatory News
    News

    BIS Bulletin Examines Key Elements of Policy Response to Cyber Risk

    BIS published a bulletin, or a note, that examines the cyber threat landscape in the context of the pandemic and discusses policies to reduce risks to financial stability.

    January 14, 2021 WebPage Regulatory News
    News

    HMT Updates List of Post-Brexit Equivalence Decisions in UK

    HM Treasury, also known as HMT, has updated the table containing the list of the equivalence decisions that came into effect in UK at the end of the transition period of its withdrawal from EU.

    January 14, 2021 WebPage Regulatory News
    RESULTS 1 - 10 OF 6462