Agency Information Collection Activities: Announcement of Board Approval Under Delegated Authority and Submission to OMB (FED extends for three years – with revisions – its reporting requirements „Associated with Regulation Y“ concerning financial institutions and bank holding companies)

The Board of Governors of the Federal Reserve System (FED) has published in the Federal Register its decision to extend for three years – with revisions – its reporting requirements „Associated with Regulation Y“ in connection with banking institutions‘ and holding companies‘ financial standing (financial reports).
Specifically, since the introduction of the Volcker Rule, banks and bank holdings are basically disallowed to conduct proprietary trading unless it is for hedging purposes. The Volcker Rule also requires them to divest any existing investments not conforming to that requirement. So far, banks could seek an extension for divesting their engagements, particularly investments in illiquid funds. Since the deadline for adjusting their portfolios expired on July 31, 2022, any application for a deadline extension is no longer valid.
In the collections associated with Regulation Y, there are multiple references to the FR Y-1 (extension of deadline for conforming with the Volcker Rule). Hence, the FED has now decided to remove any provisions in the Regulation Y reporting collection relating for such deadline extension.
The decision follows a public consultation late last year.