SIA Submits Comments to Multiple Federal Agencies on Risk-Based Capital Standards and Claims on Securities Firms

The Capital Committee and the Bank Holding Company Committee of the Securities Industry Association (SIA)* provides comments to the Board of Governors of the Federal Reserve System (Federal Reserve), Docket No. R-1085; the Office of the Comptroller of the Currency (OCC), Docket No. 00-27; the Federal Deposit Insurance Corporation (FDIC); and the Office of Thrift Supervision (OTS), Docket No. 2000-96, on proposed amendments to the Agencies’ risk-based capital standards. The amendments would reduce the risk weight applied to claims on, and claims guaranteed by, certain “qualifying securities firms” from 100 percent to 20 percent under the Agencies’ risk-based capital rules. While SIA supports the overall proposal, it disagrees in some respects with the analysis contained in the release, and believes that the proposal should go further in some respects.
*SIFMA is the product of a merger between the Securities Industry Association (SIA) and The Bond Market Association (TBMA) in 2006.