1.19.24
On January 16, 15 bipartisan Members of Congress submitted a letter to U.S. bank regulators raising concerns over plans to boost lenders’ capital requirements to comply with Basel Endgame III. House Financial Services Capital Markets Subcommittee Chair Ann Wagner (R-MO) and Ranking Member Brad Sherman (D-CA) led Tuesday’s letter to the Federal Reserve, FDIC, and OCC. The letter focuses on the impact to capital markets and specifically references asset securitization. Further, the letter acknowledges that, “The proposal doubles the ‘securitization capital surcharge,’ for certain securitization exposures, calibrating it above the level adopted by [the] agencies after Dodd-Frank.”