Banking Regulation Information
June 23, 2020, 9:00 AM Pay attention
Coverage makers add new wrinkle with pandemic sensitivity testThursday’s Fed outcomes received’t clarify if payouts are safeBanks and their buyers have for years lobbied the Federal Reserve for extra transparency within the annual examination that determines how a lot revenue they will hand out to shareholders within the type of buybacks and dividends.This received’t be the 12 months.Amid a world pandemic, the central bank is including a sensitivity evaluation that seeks to seize how monetary companies are positioned to deal with the brand new monetary stress. That can information coverage makers in approving payouts, however received’t present up when the outcomes of the stress checks are launched on Thursday, leaving buyers guessing whether or not every bank’s dividend is protected….
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