Federal Reserve Board announces additional details regarding how banking entities may seek extension to conform their investments in a narrow class of funds that qualify as "illiquid funds" to the requirements of the Volcker Rule

[kreslik.news]

The Federal Reserve Board on Monday announced additional details regarding how banking entities may seek an extension to conform their investments in a narrow class of funds that qualify as "illiquid funds" to the requirements of section 619 of the Dodd-Frank Wall Street Reform and Consumer Protection Act, commonly known as the Volcker Rule.

The Board expects that the illiquid funds of banking entities will generally qualify for extensions, though extensions may not be granted in certain cases--for example, where the banking entity has not demonstrated meaningful progress to conform or divest its illiquid funds, has a deficient compliance ... (read more)