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Article: Resolution Fund New Reg Reform Headache.
- Article from:
- American Banker
- Article date:
- November 12, 2009
- Author:
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Byline: Cheyenne Hopkins
WASHINGTON - The creation of a fund to pay for the resolution of a systemically important institution is turning into one of the more difficult challenges in the regulatory reform debate.
Although the House and the Senate bills currently would require an assessment on larger institutions after a systemic collapse, the House Financial Services Committee is expected to shift to a prepaid system that would force firms to pay into a new fund prior to a large failure.
But that move is raising other questions, including how much firms should be charged, how they should be assessed, how quickly to build the fund and how big it ...