Congress has begun active consideration of rewriting the Dodd-Frank Act criteria for imposing additional prudential standards on bank holding companies with assets over $50 billion. Although various options are under consideration, an approach introduced by a bipartisan group of senior Members of the House of Representatives would essentially repeal the $50 billion threshold at which an array of Dodd-Frank rules are imposed. It would instead apply these tougher, costly standards, at least at first, only to the U.S. BHCs designated by the Financial Stability Board as global systemically-important banks (G-SIBs). Other BHCs could also be designated and thus subjected to stringent regulation and heightened restrictions, but only following a strong FSOC vote to do so under the designation criteria adopted by the FSB.
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