FDIC Issues Financial Institution Letter Regarding Annual Stress-Test Reporting Template and Documentation
The Federal Deposit Insurance Corporation ("FDIC") issued a financial institution letter to describe the reports and information required under Dodd-Frank Section 165(i)(2) ("Enhanced Supervision and Prudential Standards for Nonbank Financial Companies Supervised by the Board of Governors and Certain Bank Holding Companies") of covered banks with total consolidated assets between $10 billion and $50 billion. The data collected through the stress-test reporting templates will be used to assess how reasonable a covered bank's stress-test results are, and provide forward-looking information to the FDIC regarding a covered bank's capital adequacy. Covered banks with consolidated assets between $10 billion and $50 billion must report capital and risk-weighted assets for the nine-quarter planning horizon using the regulatory capital rules applicable on the "as of" date of each report for the initial submission.