Fed To Open The Door A Crack On Stress Testing

Law360, New York (December 7, 2017, 4:47 PM EST) -- The Federal Reserve on Thursday proposed giving banks more information about the modeling techniques it uses when evaluating the banks' performance on annual stress tests, but said that the increased transparency would not reduce the integrity of the tests.

The Fed issued a package of proposals that would increase the amount of information that the Fed provides to banks about the models it uses when evaluating how certain portfolios of assets perform under the various stress scenarios that the central bank provides each year for the...
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