July 30 – The Federal Reserve Board has approved a final rule establishing risk-management standards for certain financial market utilities designated as systemically important by the Financial Stability Oversight Council. The final rule also establishes requirements for advance notice of proposed material changes to the rules, procedures or operations of certain designated FMUs. FMUs, such as payment systems, central securities depositories, and central counterparties, provide the infrastructure to clear and settle payments and other financial transactions.
Search Results: Risk-Management
July 20 – The Federal Reserve Board has reaffirmed its long-standing policy of applying relevant international risk-management standards to the Federal Reserve Banks’ Fedwire funds and Fedwire securities services. These services play a critical role in the financial system and in facilitating the safe and efficient settlement of private-sector financial market utilities.
November 10 — ProcessUnity has introduced Vendor Cloud Community Bank Edition (CBE), a new version of its flagship vendor risk management solution aimed at helping smaller financial institutions identify and remediate risks posed by third-party service providers.
November 7 – Federal banking agencies found serious deficiencies in underwriting standards and risk management of leveraged loans in a report released recently.
October 17 – The Federal Reserve Board has issued a final rule to modify the regulations for capital planning and stress testing and released instructions for the 2015 capital planning cycle.
Enterprise risk management is a valuable tool to assist institutions in dealing with the uncertainty in our banking environment. An ERM program can facilitate the identification of risk and opportunity while enhancing the capacity to build value. However, audit committees, boards of directors and management often have difficulty identifying a champion to lead and guide implementation and execution of an ERM program. An internal auditor is uniquely positioned to help those charged with governance lead the effort to successfully embrace ERM.
May 20 – The Federal Reserve Board has announced that Credit Suisse will pay a $100 million penalty for unsafe and unsound practices and failure to comply with the federal banking laws governing its activities in the United States. The Federal Reserve also issued a cease and desist order requiring Credit Suisse promptly to address deficiencies in its oversight, management, and controls governing compliance with U.S. laws.
EMV, the global standard for chip-based payment cards and acceptance devices, is inevitably changing the game for every player in the payment process —community banks, acquirers, merchants, issuers and consumers. First introduced in 1994 when Europay, MasterCard and Visa formed EMVCo, EMV has defined the interoperability standards for chip-bearing smart card technology. Today, there is a growing incompatibility between traditional magnetic stripe payment cards still used in the United States and widespread EMV acceptance abroad. EMV adoption is no longer an option, as the U.S. needs to catch up and reduce the risk of fraud.
Feb 19 – The Federal Reserve Board has approved a final rule strengthening supervision and regulation of large U.S. bank holding companies and foreign banking organizations.
Jan 15 – The Federal Reserve Board has requested comment on proposed revisions to the Regulation HH risk-management standards for certain financial market utilities that have been designated as systemically important by the Financial Stability Oversight Council, including those for which the board is the Supervisory Agency pursuant to Title VIII of the Dodd-Frank Wall Street Reform and Consumer Protection Act. The board also requested comment on related revisions to part I of the Federal Reserve Policy on Payment System Risk (PSR policy), which is applicable to financial market infrastructures more generally, including those operated by the Federal Reserve Banks.