Fed Asks for Comments on Relaxing Volcker Rule
The Federal Reserve Board asked for comment on a proposed rule to simplify and tailor compliance requirements relating to the “Volcker rule.”
The Federal Reserve Board asked for comment on a proposed rule to simplify and tailor compliance requirements relating to the “Volcker rule.”
Amendments will be difficult for some CLOs that have been heavily sold into the secondary market or where bond investments are important to the CLO manager’s investment thesis, Fitch Ratings says.
Rules and regulations concerning both leveraged loans and collateralized loans continue to be a source of confusion for many. The author dissects the roles of Leveraged Lending Guidance, the Volcker Rule and the Risk Retention in the U.S. syndicated loan market, and provides insights into what each may portend for the future of the market.
Five federal agencies issued final rules developed jointly to implement section 619 of the Dodd-Frank Wall Street Reform and Consumer Protection Act (Volcker Rule). The rules become effective April 1, 2014.
Bloomberg reported that lawmakers and their allies who want to rein in big banks are ready to pounce if the Volker rule is deemed too weak, which could add fuel to a push to reinstate Glass-Steagall.