FDIC Proposes Amendments to Annual Stress Test Rule

The FDIC announced that it is seeking comments on a proposed rulemaking to amend the FDIC's Annual Stress Test rule.

The proposed rule would shift back the timing of the annual stress-testing cycle by approximately 90 days and clarify that institutions covered by the Annual Stress Test rule will not have to calculate their regulatory capital ratios using the Basel III advanced approaches until the stress-testing cycle begins on January 1, 2016. This notice of proposed rulemaking follows similar actions by the Board of Governors of the Federal Reserve System and the Officer of the Comptroller of the Currency on June 12, 2014.

Comments will be due 60 days from the publication of the proposal in the Federal Register, which is expected to happen shortly.

See: FDIC Press Release. Related news: FRB Proposes to Modify Regulations for Capital Planning and Stress Testing (June 13, 2014); OCC Proposes Amendments to Annual Stress Test Rule (June 13, 2014).