Stress tests

Former Barclays CEO John Varley was accused of trying to obtain funds to avoid a government bailout; borrowing to pay for weddings surged last year.

A new set of tougher scenarios did little to keep large banks from passing the most recent stress tests mandated by the Dodd-Frank Act.

The bank believes its U.S. unit will pass this year’s stress test but Fed restrictions will stay; COO is the second member of CEO’s inner circle to leave.

Banks shouldn’t have trouble this year, but the rules may change next year; U.S. authorities are probing possible AML compliance violations at the German bank.

Stress tests have come a long way since first unveiled to shore up confidence in banks. But some critics fear that proposals to make the system more efficient would compromise its safety.

Options include legislation to study the risk of leveraged loans, more aggressive action by the Financial Stability Oversight Council and additional capital buffers. Policymakers may also choose to do nothing.

This is the first year that only the largest and most complex banks will be included after the Federal Reserve decided to let smaller firms wait until next year to resume testing.

Stress tests, capital buffers and liquidity levels are best ways to make financial system safe; HSBC plans to layoff “several hundred” from investment bank.

The pace is torrid now, but it could slow if bank stock prices keep rising and one prominent lawmaker’s proposal to restrict share repurchases gains traction.

Former Federal Reserve Gov. Daniel Tarullo warned that a Fed proposal to weaken the stress capital buffer, among other things, could hurt safety and soundness.

Over a dozen progressive lawmakers urged the central bank to reverse its course and protect bank regulations enacted after the financial crisis.

The central bank said that while financial markets' desire for higher yields raises the potential for losses, capital and liquidity safeguards temper any concerns about a looming crash.

As the central bank board proceeds with reforms easing the post-crisis regulatory regime, the Obama-appointed governor has not shied from opposing the agency’s course.

Rachel Bryant specializes in risk management, and she applies that framework not only to her job duties, but also to her career path.

The Fed is stepping up transparency around its process for testing bank resiliency in a hypothetical crisis, but additional improvements are needed.

The regulatory relief bill passed last year eliminated mandatory stress tests for dozens of regional and midsize banks, yet many banks continue running internal tests anyway. Here’s why.

The central bank said the supplemental document “provides significantly more information on the stress test models that are used to project bank losses, compared to disclosures from past years.”

Speaking at a press conference, Federal Reserve Chairman Jerome Powell said the bank’s risk management failures have required a dramatic overhaul of its processes.

Banks moving past traditional card lending to compete on POS; ; five board members plan to leave before the bank’s May meeting.

The central bank is limiting the use of its qualitative objection in this year’s stress tests, the agency announced Wednesday.