This story appeared in Bank Digest.
The Federal Deposit Insurance Corporation has proposed amending a 2013 final rule that restricts banks' ability to engage in some proprietary trading or investment fund activities. At its meeting on May 31, 2018, the FDIC approved a Notice of Proposed Rulemaking, jointly developed with the Federal Reserve Board, the Office of the Comptroller of the Currency, the Securities and Exchange Commission, and the Commodity Futures Trading Commission, which would amend the Volcker Rule. On May 30, the Fed announced its proposed amendments to regulations implementing Volcker Rule restrictions. There will be a 60-day public comment period on the proposed rule after its publication in the Federal Register.
FDIC Chairman Martin J. Gruenberg issued a statement on the proposed rule, noting that his agency worked with the other agencies participating in the rulemaking "to explore modifications to the regulation intended to provide clarity to the requirements of the rule, to simplify compliance, and to improve supervision and implementation, but only within certain parameters under which the core principles of the Volcker Rule would be preserved."