Enhanced Disclosure Task Force Reports on Bank Risk Disclosures (with Lofchie Comment)

The Enhanced Disclosure Task Force, which was established at the initiative of the Financial Stability Board, has published a report on its recommendations on ways in which large international banks can enhance their risk disclosure practices. The report identifies seven fundamental principles for enhancing risk disclosures, including (i) comparability among banks, (ii) consistency over time and (iii) clear, balanced and understandable communications.

Lofchie Comment: In large part, this report is directed at regulators in the various relevant jurisdictions, as material implementation of the recommendations would depend upon their being embodied in governing national law.