Fed Reveals Stress-Test Revamp for Banks, Barr Objects
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The US Federal Reserve launched a potential overhaul of stress tests for big banks that would average the results over two years and give extra time to adjust to new capital requirements.
The Fed said Thursday that it intends to delay the effective date of the annual stress-capital buffer requirement from Oct. 1 to Jan. 1 of the next year. Its proposal will also make “targeted changes” to streamline stress test-related data collection, the central bank said in a statement.