Archive Links

Consumer Archive
CU System Archive
Market Archive
Products Archive
Washington Archive

News Now

Washington
GAO issues recommendations on leveraging rules
WASHINGTON (5/10/10)—The Government Accountability Office (GAO) Friday released results of a 2009 study of the role of leverage in the recent financial crisis and federal oversight of leverage. The results focus on three areas:
* How leveraging and de-leveraging by financial institutions may have contributed to the crisis; * How federal financial regulators limit the buildup of leverage; and * Limitations the crisis has revealed in regulatory approaches used to restrict leverage and regulatory proposals to address them.
The GAO made two recommendations. First, it backed the merit of establishing systemwide leverage oversight to a single regulator. Second, the GAO recommended that as Federal bank regulators assess the extent to which reforms under Basel II, the new risk-based capital framework, would address “risk evaluation and regulatory oversight concerns associated with advanced modeling approaches used for capital adequacy purposes.” Use the resource link to read the report.
Other Resources

RSS print
News Now LiveWire
#Iowa Housing Authority honors #creditunion's mortgage commitment #NewsNow http://t.co/97me6ziPFa
4 hours ago
Adams to Zimmerman: Don't let your name define your financial decisions via @ndn http://t.co/kPVgQaDFNo
7 hours ago
Calif. ride-sharing law protects #creditunion collateral #NewsNow #System http://t.co/kXAAmbQgKO
8 hours ago
New offices mean moving sale at @TheKCUA https://t.co/xaof5SJkmE
9 hours ago
Existing-home sales slump in August as cash purchases decline @REALTORS
10 hours ago