Tabs

Bank/Thrift Supervision   |    Capital    |    CFPB    |    Deposit Insurance    |    Interchange    |    Mortgage Finance
Municipal Advisors   |    OCC-OTS Merger   |    Preemption    |    QM - QRM    |    Swaps   |    Volcker Rule    |    Full Topics List
 
Qualified Mortgage - Qualified Residential Mortgage
Swaps
Consumer Financial Protection Bureau - CFPB
Bank/Thrift Holding Company Supervision
Capital
Deposit Insurance
Interchange
Mortgage Finance
Municipal Advisors
OCC-OTS Merger
Preemption
Volcker Rule
Corporate Governance
Financial Stability Oversight Council (FSOC)
Appraisals
Office of Financial Research (OFR)
Systemic Risk
Supervision and Oversight
Payment, Clearing and Settlement
Prudential Supervision
Trust & Securities
Asset-Backed Securities
Resolution Authority

Thursday, December 18, 2014

Agencies Align Derivatives Treatment with ISDA Protocol

The Federal Reserve and OCC issued an interim final rule — effective Jan. 1 — to reflect the agreements the largest global banks have made to help wind down a troubled derivatives counterparty.

Under the auspices of the International Swaps and Derivatives Association, 18 global systemically important banks agreed in October to delay their options to end cross-border derivatives transactions with a troubled counterparty. The 48-hour delay will provide extra time for regulators to resolve a failing large bank.

The agencies’ rule ensures that the regulatory treatment of over-the-counter derivatives, eligible margin loans and repo-style transactions under the capital and liquidity rules would not be affected by a bank’s participation in ISDA’s protocol or in an overseas special resolution regime similar to the United States’.

Read the rule.

No comments:

Post a Comment

Please read our comment policy before making a comment.