#Adeyemo – Federal Financial Analytics

29 11, 2023

DAILY112923

Eliza Allen2023-11-29T16:51:26-05:00November 29th, 2023|2- Daily Briefing|

FDIC’s OIG Presses for Non-Capital PCA Triggers, Additional Supervisory Reform

The FDIC’s OIG report on First Republic’s failure is at least as scathing as its SBNY post-mortem.

Treasury Launches Anti-Crypto Enforcement Campaign

In remarks today from Deputy Secretary Wally Adeyemo, Treasury officially launched its anti-crypto sanctions and AML campaign.

Basel Proposes Sweeping Climate-Risk Disclosure Standards

Following the FSB’s finding that most banks were failing to provide meaningful climate disclosures, the Basel Committee today issued proposed climate-risk disclosure standards.

3Q Report Highlights AOCI Risk

The FDIC’s 3Q banking-condition report includes a stunning 22.5 percent rise in the total of HTM and AFS unrealized losses, which now stand at $683.9 billion.

Senate Banking Opens Private-Credit Inquiry

Senate Banking Chair Brown (D-OH) and Sen. Reed (D-RI) today asked FRB Vice Chair Barr, Acting Comptroller Hsu, and FDIC Chair Gruenberg to look into the risks private credit poses to the banking system.

Daily112923.pdf…

8 06, 2023

DAILY060823

Eliza Allen2023-06-08T16:56:17-04:00June 8th, 2023|2- Daily Briefing|

Bills Advanced re Emergency M&A, FDIC Ceiling

The Congressional Record today includes two Democratic bills with possible prospects despite House GOP control.

CFPB Extends Data Broker RFI Deadline

The CFPB today extended the comment deadline on its RFI inquiring about the business models and practices of data brokers.

Treasury Fairness/Compliance Initiative Targets Government Payments

Treasury today issued a new policy on promoting fair and effective compliance via a memorandum from Deputy Secretary Adeyemo.

Gensler Doubles Down On SEC Crypto Policy

In remarks today implicitly rebutting GOP assertions that the SEC has gone too far and new law expanding CFTC authority is needed, SEC Chairman Gensler strongly reasserted that most cryptoassets are securities subject to SEC oversight.

Bank Regulators, CFPB Encourage Appraisal Revaluation

Reflecting ongoing efforts to address appraisal bias, the banking agencies and the CFPB today proposed new interagency guidance on reconsiderations of value (ROV) for residential real estate, outlining the risks of deficient valuations and highlighting policies addressing them.

Daily060823.pdf…

21 03, 2023

DAILY032123

Eliza Allen2023-03-21T17:00:01-04:00March 21st, 2023|2- Daily Briefing|

US Races to Calm Depositors, Bankers

In a concerted effort to quell depositor fear, the White House has told Bloomberg that it will not allow community banks to experience a panic and Secretary Yellen is said shortly to assure bankers that smaller banks will not be allowed to experience a concerted run.

Treasury Stands Behind Small Banks In Systemic Situations

In her formal remarks today, Treasury Secretary Yellen confirmed press reports that the U.S. would contemplate interventions similar to those for SVB and SBNY should a smaller bank suffer a deposit run posing contagion risk.

CFPB Adds to Credit-Card Competition Interventions

Continuing its campaign against large credit-card companies (see FSM Report CREDITCARD36), the CFPB today launched an expanded credit card issuer survey to post new information on smaller companies the agency thinks beneficial to increase competition in this sector.

Adeyemo Reiterates US Backstop

In addition to Secretary Yellen’s comments today, Deputy Secretary Wally Adeyemo not only praised his agency’s response, but also reaffirmed that the government is prepared to back smaller banks.

Daily032123.pdf…

9 09, 2022

DAILY090922

Eliza Allen2022-10-24T12:01:09-04:00September 9th, 2022|2- Daily Briefing|

White House Reaffirms Anti-Algo Stand

The White House late yesterday announced core bigtech policy principles. These are extremely general and do not go as far in areas such as antitrust that progressives sought.

U.S. Announces Start of Work on Basel “End Game”

Ahead of what might otherwise have been a fractious Basel Committee meeting, the Fed, OCC, and FDIC today reaffirmed the U.S. commitment to finalize what FRB Vice Chair Barr Wednesday called the Basel III “end-game.”

Basel Chair Announces Preliminary AI Priorities

Pablo Hernández de Cos, Chair of the Basel Committee, announced today the work that regulators plan on AI and algorithmic decision-making.

OFR Details Climate Data-Sharing Efforts

Acting OFR Director James Martin today addressed the need for integrated climate-related financial data and challenges to forecasting and modeling climate risk.

Liang Stresses Climate-Resiliency

Treasury Under Secretary Liang today reiterated an array of agency and Administration climate-risk priorities, emphasizing ongoing Treasury and FSOC climate resiliency efforts and underscoring Treasury’s commitment to a net-zero economy.

Treasury To Issue Price-Cap Sanction Guidance

Deputy Treasury Secretary Wally Adeyemo today made it clear that enforcement of the anti-Russia oil-price caps will depend not only on restricting shipping insurance, but also doing so for financial and payment services.

Daily090922.pdf…

22 06, 2022

DAILY062222

Eliza Allen2023-01-25T15:55:01-05:00June 22nd, 2022|2- Daily Briefing|

Treasury Issues Stern Sanctions Warning to Foreign Banks

In remarks today to UAE bankers, Deputy Treasury Secretary Wally Adeyemo warned that foreign financial institutions are subject to possible sanction if transactions touch sanctioned entities via any U.S.-domiciled point.

CFBP Follows Threats with Credit-Card Action Plan

Consistent with its promises as recently as last week, the CFPB today released an ANPR examining ways to govern what it calls excessive late fees charged by credit-card issuers and announced broader initiatives in this sector.

CBDC Authorizing Legislation Takes Shape

Building on his HFSC subcommittee’s CBDC hearing record (see Client Report CBDC13), Rep. Jim Himes (D-CT) today released a white paper outlining legislation he plans to advance to authorize and define CBDC for the United States.

House Set to Report Revised ILC Reform Bill

As anticipated, HFSC seems likely to report H.R. 5912, ILC-reform legislation introduced by Rep. Chuy García (D-IL) (see FSM Report ILC13). The measure subjects ILCs to bank regulation, rolling back the FDIC’s rule during the Trump Administration providing these charters with unique regulatory advantages (see FSM Report ILC15).

Daily062222.pdf…

10 06, 2022

DAILY061022

Eliza Allen2023-01-27T15:45:24-05:00June 10th, 2022|2- Daily Briefing|

Treasury Emphasizes Crypto BSA Compliance

Treasury Deputy Secretary Wally Adeyemo today outlined his agency’s digital-asset priorities not only in adherence to the President’s executive order (see Client Report CRYPTO26), but also recent developments. Treasury’s top priority is ensuring BSA compliance in this sector, followed by addressing illicit-finance risk posed by unhosted wallets.

HFSC to Advance Overdraft, ILC Legislation

The schedule for Tuesday’s HFSC mark-up includes a revised version of H.R. 4277, long-pending Maloney (D-CA) legislation to restrict overdrafts (see FSM Report OVERDRAFT4). The Democratic memo acknowledges that many banks have reformed or eliminated overdraft and related fees, but says some continue to charge pernicious fees and others could resume this practice without new law.

GAO Recommends Fed Improve Alternative-Data Use, Stress Testing

The GAO today issued several recommendations to the Fed on alternative data use and improving stress testing. The alternative data recommendations reiterate a prior call to the FDIC related to working with fintechs and vendors, calling for the Fed in coordination with other banking regulators and the CFPB to provide clear written guidance to banks who engage with third-party fintech lenders on the appropriate use of alternative underwriting data.

Daily061022.pdf…

4 11, 2021

Daily110421

Arezou Rafikian2023-06-02T12:50:28-04:00November 4th, 2021|2- Daily Briefing|

Hsu: Crypto Demands Consolidated, Bank-Like Supervision
Echoing the call for consolidated stablecoin regulation in the new PWG report (see FSM Report CRYPTO21), Acting Comptroller Hsu late yesterday argued that “universal” crypto firms need comprehensive, consolidated supervision.

Global Comp-Reform Effort Peters Out
The FSB today updated progress on implementation of its principles for sound compensation practices (see FSM Report COMPENSATION21), reporting that implementation by banks is more advanced than insurers and asset managers.

Treasury Fires Crypto Compliance Warning Shots
Deputy Treasury Secretary Wally Adeyemo today addressed the growing role of digital assets in ransomware and its threat to the payment system. Detailing an array of public-private partnerships, he stated that Treasury will continue to advise the industry ations and the research frontier

Daily110421.pdf…

19 10, 2021

SANCTION15

Arezou Rafikian2023-06-07T15:42:04-04:00October 19th, 2021|5- Client Report|

Banking Dems, GOP Demand More, Tougher Sanctions

Today’s Senate Banking hearing with Treasury Deputy Secretary Wally Adeyemo showed bipartisan concern that the Administration is failing to implement sanctions required by law, especially when it comes to China, North Korea, and Russia. Senators also stated that they will not tolerate what they call continued defiance of Congressional mandates without making clear what they intend to do to enforce their will should Treasury fail to act.

SANCTION15.pdf…

19 10, 2021

FedFin on: Banking Dems, GOP Demand More, Tougher Sanctions

Arezou Rafikian2023-06-07T15:42:15-04:00October 19th, 2021|The Vault|

Today’s Senate Banking hearing with Treasury Deputy Secretary Wally Adeyemo showed bipartisan concern that the Administration is failing to implement sanctions required by law, especially when it comes to China, North Korea, and Russia. Senators also stated that they will not tolerate what they call continued defiance of Congressional mandates without making clear what they intend to do to enforce their will should Treasury fail to act.

The full report is available to retainer clients. To find out how you can sign up for the service, click here.…