FRB to Implement Recommendations for Enhancing Supervision of Large Banks

The Board of Governors of the Federal Reserve System ("FRB") will be implementing several recommendations for the enhancement of its internal procedures for supervising large banking organizations. The recommendations follow an extensive review of Reserve Bank procedures for supporting consistent and sound supervisory decisions, as well as methods used by Reserve Banks to resolve differing staff opinions on the supervision of large and complex firms. As a re

As a result of the review: i) the FRB will develop policies and practices intended to encourage the exchange of and response to divergent staff views on all supervisory matters; ii) the Operating Committee of the Large Institution Supervision Coordinating Committee ("LISCC") will oversee the establishment of minimum operating and documentation standards for all supervisory activities; iii) the FRB will develop a curriculum tailored specifically to the supervision of large financial institutions for its examiner commissioning and training program; and iv) the LISCC will oversee the development of new training materials for members of the supervisory teams and will establish expectations for procedural and substantive elements of the supervisory program.