- FHFA adopted a final rule establishing a new regulatory capital framework for Fannie Mae and Freddie Mac that will significantly increase their combined total capital requirement (from approximately $35 billion to more than $280 billion).
- Federal Reserve Chair does not favor allowing CARES Act lending facilities to expire in December, though Treasury has declined to extend funding for certain programs, including the Municipal Liquidity Facility and the Main Street Lending Program.
- SEC adopted additional amendments to Regulation S-K disclosures, but two Commissioners dissented in part because the rule did not address climate change; FRB NY conducted a webinar on “the intersection of climate change approaches in the financial sector, and the opportunities for community resilience and inclusion”.
- OCC finalized amendments to its licensing policies and procedures, including certain filing requirements for operating subsidiaries and notices for non-controlling investments
- Focus on LIBOR transition by regulators and Congress.
Financial services regulatory and policy news
- Announced a competition to select financial advisors for a new “Mission-Driven Bank Fund” to facilitate investment in Minority Depository Institutions and CDFIs
- Released observations from OCIE’s examinations of investment advisors in supervision, compliance, and multiple branch offices
- Spoke about the intersection of climate change risk and financial regulation
- Released a statement on the Wyoming Division of Banking’s “NAL on Custody of Digital Assets and Qualified Custodian Status”
- Proposed a rule to provide temporary relief to allow remote inspections for calendar years 2020 and 2021
- Released a podcast titled Overlapping Risks, Part 2: Anti-Money Laundering and Elder Exploitation
- Announced a targeted exam on customer waivers and rebates available through Rights of Reinstatement
- Announced Chairman Clayton will step down at year-end
- Adopted additional amendments to Regulation S-K disclosures; dissenting Commissioners statement
- Adopted rules to facilitate electronic submission of documents
- Spoke about “The promise of structured data: True modernization of disclosure effectiveness“
- Released an OCIE statement on recent enforcement matters involving “VIX-related” and other complex ETPs
- Released an OECD report highlighting the United States’ increasing foreign bribery enforcement level
- Proposed a rule change addressing firms with significant history of misconduct
- Requested the Federal Reserve return unused CARES Act funding for certain emergency facilities, including the Municipal Liquidity Facility and the Main Street Lending Program; Federal Reserve Chair committed to using all tools
- Issued guidance clarifying the deductibility of expenses where a business received a PPP loan
- Hosted an event exploring the financial sector’s role in mitigating climate risk for low-income communities
Industry news headlines
- Fannie, Freddie Overseer Looks to End Federal Control Before Trump Leaves (WSJ)
- Dollar Libor left behind in shift away from tainted benchmark (Financial Times – subscription required)
- Data-security lapses surge in work-from-home era (American Banker)
- CDFIs have untapped potential as game changers for minority-owned businesses (American Banker)
- Banks May Be Office Landlords’ New Problem Tenants (WSJ)
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