Search Results for 'Regulation'


Regulators Ordering Banks to Plan for Liquidation in Consent Orders August 23, 2010 Federal regulators are increasingly inserting language into consent orders –instead of waiting to issue a Prompt Corrective Action– that requires adequately-capitalized banks to come up with immediate plans to merge, sell or liquidate their institutions, a Bank Safety and Soundness... Continued... Indexed by: Capital Adequacy \| Enforcement/Exams \| Regulation \| Troubled Banks
FDIC Gains Regulatory Back-Up Powers July 19, 2010 The FDIC will use off-site monitoring of Call Reports to decide whether it needs to sit in on exams of banks it doesn’t normally supervise, according to a new agreement among the regulators approved unanimously last week. The agreement gives the FDIC the power to conduct special exams of... Continued... Indexed by: Enforcement/Exams \| FDIC \| Regulation
Why Healthy Banks Need to Raise More Capital than Ever July 19, 2010 Even healthy banks now believe they must raise more capital than ever before. Doug Crichfield, president and CEO of Solera National Bancorp ($137.5 million), a de novo bank in Lakewood, Colo., isn’t worried about capital for his bank. (The bank has 19.3% RBC). But Crichfield, who has... Continued... Indexed by: Capital Adequacy \| Exams/Enforcement \| Regulation
Financial Reform Mostly Shuts Down Charter Changes at Struggling Banks July 05, 2010 Congress virtually has shut down the ability of stressed banks to convert between national and state charters, despite a last-second amendment to the financial reform bill that left a sliver of an option. The bill includes a provision that would prevent banks from “charter flipping”... Continued... Indexed by: Legislation \| Regulation
Bankers: Financial Reform Means More Regulation, Less Earnings July 05, 2010 Nearly every financial institution executive expects more cumbersome and expensive regulation in 2011 – as well as decreased earnings – due to financial reform legislation, an exclusive Bank Safety & Soundness Advisor survey shows. One out of three bank execs said their biggest... Continued... Indexed by: Legislation \| Regulation
Four Ways to Make Incentive Pay Sensitive to Risk June 28, 2010 Risk Adjustment of Awards: Adjust the employee's incentive pay based on measures that take into account the risk their activities pose to the bank. Use quantitative measures or your best judgment. Deferral of Payment: Delay the actual payout "significantly beyond the end of the performance... Continued... Indexed by: Earnings \| Management \| Regulation
Banking Regulators Take Fed’s Lead, Adopt New Compensation Guidelines June 28, 2010 Examiners will be examining your incentive compensation arrangements as part of their evaluation of your “risk-management, internal controls and corporate governance” and making their findings part of your CAMELS score, according to the Guidance on Sound Incentive Compensation Policies... Continued... Indexed by: Earnings \| Management \| Regulation
How to Use ERM at Your Bank June 28, 2010 Although a 2007 report by the FDIC Office of Inspector General is focused on ERM at the agency itself, the paraphrased recommendations below also apply to banks: Define and communicate the board's risk appetite and ensure the bank's objectives are aligned with that appetite; Clarify the roles of... Continued... Indexed by: Exams/Enforcement \| Management \| Regulation
Examiners Tighten Screws on Enterprise Risk Management at Banks June 28, 2010 Regulators have begun to focus more heavily on the way banks handle risk assessment, urging in supervisory guidelines as well as in exams that institutions move toward an “enterprise risk management” model. Already in 2010, 105 banks have been ordered to write a risk exposure plan,... Continued... Indexed by: Exams/Enforcement \| Management \| Regulation
Alternative Proposal for Credit Agency Reform June 21, 2010 Though ratings inflation and low-quality ratings are “legitimate targets of reform,” the Congressional proposals would only “tinker” with the rating process in “ways that have little hope of fixing either,” warns Charles Calomiris, a professor of financial... Continued... Indexed by: Earnings \| Regulation