The Federal Reserve Board on Thursday approved a final rule to implement changes to the market risk capital rule, which requires banking organizations with significant trading activities to adjust their capital requirements to better account for the market risks of those activities.
The final rule applies to bank holding companies and state-chartered banks that are members of the Federal Reserve System. Separately, on Thursday the Board proposed to apply the market risk capital rule to savings and loan holding companies that meet the thresholds described in the final rule.
The final rule is effective January 1, 2013.