U.S. Banking Regulators Propose Markedly Higher Credit Risk Weights for Securitization
article by Structured Finance Association
Dr. W. Scott Frame, Chief Economist and Head of Policy, shares his latest blog post, U.S. Banking Regulators Propose Markedly Higher Credit Risk Weights for Securitization, providing a detailed analysis of the recent proposal by U.S. federal banking regulators to amend capital requirements in alignment with the Basel 3 Endgame standards. Co-authored with Christopher B. Horn, Partner in the Financial Services Group at Cadwalader, Wickersham & Taft, the post outlines the proposed changes to the capital treatment of securitization exposures, compares the U.S. approach to European implementation, and discusses the broader implications for the financial industry.