OCC Clarification of the Treatment of Certain Sovereign and Securitization Positions (with Lofchie Comment)

The Office of the Comptroller of the Currency ("OCC") is clarifying certain provisions of the market risk capital rule primarily related to sovereign debt positions.

Lofchie Comment: The OCC is trying to avoid making it more expensive for banks to hold foreign sovereign debt obligations as well as certain related obligations, such as obligations issued by foreign banks.

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