The Federal Reserve Board has released the first in a series of staff manuals that outline the supervision of the largest and most complex banks. This move is intended to provide greater transparency to the public about how these banks are overseen. The Board plans to publish additional manuals early next year.
“For many years, I have sought the public release of the Fed’s large bank supervision manuals. Today, I am pleased to announce their release. This is another step in our efforts to improve transparency and public accountability for bank supervision,” said Vice Chair for Supervision Michelle W. Bowman. “By enhancing our supervisory transparency, we are holding ourselves to high standards and ensuring that we execute our responsibilities appropriately and fairly.”
The manual released today does not yet include updates reflecting the recent change in name from LISCC (Large Institution Supervision Coordinating Committee) to GSIB (U.S. global systemically important banking organizations), nor does it reflect new supervisory operating principles published by the Board in November. An updated version will be made available after these changes are incorporated.
Other documents expected for release next year cover areas such as committee operations, capital and liquidity planning, recovery and resolution planning, rating programs, enforcement actions, and risk identification systems related to large banks. These manuals are already used by supervisors but have been edited to remove confidential information.
LISCC refers to oversight for very large financial institutions while GSIB covers globally significant U.S. banks.
