Nonbanks Gearing Up For Possible SIFI Rule Challenge

Law360, New York (March 8, 2012, 2:05 PM EST) -- Groups representing financial services, real estate, insurance and other industries said Thursday that regulators' deliberations on a proposed rule for determining systemically important financial institutions have not been sufficiently open, possibly setting up a legal challenge when the Dodd-Frank mandated rule is finished.

Regulators say that insurers, industrial companies with finance arms, hedge funds and other companies designated systemically important — and thus subject to the Federal Reserve Board’s capital and other prudential requirements — could prevent a crisis similar to the near financial collapse of...
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