FDIC Board Approves for Public Comment Interagency Rule to Implement the Incentive-Based Compensation Requirement Under Dodd-Frank Reform Act

February 7, 2011

The FDIC today approved a joint proposed rulemaking to implement Section 956 of Dodd-Frank. Section 956 prohibits incentive-based compensation arrangements that encourage inappropriate risk taking by covered financial institutions and are deemed to be excessive, or that may lead to material losses.

Cross References

Press Release

Notice of Proposed Rulemaking

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