-
While the agencies successfully finalized the long-awaited Volcker Rule this week, they are expected to miss yearend deadlines for several other rules, including ones that would institute tougher capital requirements on big banks and force them to issue long-term debt.
December 13 -
The Financial Stability Board released its updated list of globally significant banks subject to higher capital charges on Thursday, detailing what surcharge institutions will face.
November 6
WASHINGTON - The Federal Reserve Board announced Tuesday it will hold a meeting Dec. 9 to discuss a proposed capital surcharge for the country's largest banks.
The central bank did not indicate how high the surcharge would be, but international regulators confirmed again last month that globally significant institutions should face a surcharge of 1% to 2.5%, depending on an institution's risk and complexity.
Fed Gov. Daniel Tarullo said in September that the central bank will likely be even tougher, with surcharges linked to banks' reliance on wholesale financing and other factors.
Jaret Sieberg, an analyst with Guggenheim Securities, said that complacency around the rules may lead to sticker shock when the proposal is finally unveiled. Seiberg added that he expects the Fed to include a "modest" surcharge for systemically significant regional banks.
The surcharge has been anticipated for years, and was one of the items the central bank had hoped to complete by the end of 2013. Analysts more recently expected the Fed surcharge to be announced at the same time that the Financial Stability Board issued its list of global systemically important banks, which included 8 U.S. institutions. Those included Citigroup, JPMorgan Chase, Bank of America, and Wells Fargo.
