Fed amends Capital Plan Rule and Stress Capital Buffer
The amendments apply to all banking organizations subject to the rule, effective upon publication
The Federal Reserve Board issued a final amendment to the Capital Plan Rule and the Stress Capital Buffer Requirement. The changes modify the procedures for submitting capital plans and the calculation methodology for the stress capital buffer, and they bind every banking organization that is subject to the existing rule.
The amendment revises the timing for capital plan submissions, clarifies the data elements that must be included, and updates the stress testing scenarios used to determine the buffer amount. It also adjusts the formula for the buffer to reflect recent supervisory guidance.
The notice states that the amendments become effective upon publication in the Federal Register. Banking organizations must incorporate the revised requirements into their next capital planning cycle and ensure compliance with the updated stress buffer calculations.
The Board invited comments on the amendments, with the comment period concluding on the date specified in the notice. Stakeholders were directed to submit comments through the Board's regulations.gov docket.
The final rule supersedes the prior provisions of the Capital Plan Rule and the Stress Capital Buffer Requirement and will be enforced as part of the Board's supervisory framework for banking organizations.
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