The Federal Reserve announced an expansion of the Money Market Mutual Fund Liquidity Facility (MMLF) originally announced on March 18, 2020 as part of its response to the coronavirus crisis. Under the expanded MMLF, certain municipal bonds are eligible as collateral and certain municipal MMFs are eligible for
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Federal Reserve
Fed Establishes a Money Market Mutual Fund Liquidity Facility
Posted in Federal Reserve
The Federal Reserve’s creation of a Money Market Mutual Fund Liquidity Facility (MMLF) follows the announcement of a Commercial Paper Funding Facility and a Primary Dealer Credit Facility, both of which we discussed earlier this week (link to CPFF memo, link to PDCF memo), and represents…
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The Fed Announces a Primary Dealer Credit Facility
Posted in Federal Reserve
The Federal Reserve’s creation of a Primary Dealer Credit Facility (PDCF) follows the announcement of a Commercial Paper Funding Facility, which we discussed earlier this week, and represents a continuation of the Federal Reserve’s use of its “unusual and exigent” powers to help during the current crisis. For…
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The Fed Moves to Shore Up Commercial Paper Markets
By Margaret E. Tahyar, Andrew Samuel & Eric B. Lewin on
Posted in Federal Reserve
- The Federal Reserve’s announcement that it is creating a Commercial Paper Funding Facility (CPFF) is the Federal Reserve’s first use of its “unusual and exigent circumstances” powers in this crisis.[1]
- It is designed to make sure that any U.S. issuer of commercial paper (CP), including
Republication: The 2009 Davis Polk Financial Crisis Manual
By The Davis Polk FIG Team on
It is back to the future. Federal Reserve Chairman Powell pledged last night to use the “full range of tools” available to support households, businesses and the economy. Today, Davis Polk republishes its 2009 Financial Crisis Manual in the hope that, even though much has changed in the last 11…
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Federal Banking Agencies Recognize the Rise of Index Funds and Passive Investing
In a welcome move, two recent actions by the Federal Reserve, OCC and FDIC (the Banking Agencies) recognize the increasing role of fund complexes and passive investing. The Banking Agencies have released a statement under the Federal Reserve’s Regulation O which acknowledges the reality that equity mutual funds may sometimes…
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Roster of Financial Regulatory Leadership
As we enter the new year, we have updated our roster of federal financial regulatory leadership, including announced nominations, confirmations, resignations and expiring terms. The first slide summarizes the state of play for the agencies’ principals; the later slides provide a deeper look on an agency-by-agency basis, including select senior…
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Davis Polk Financial Services Regulatory Reform Tool—2020 Vision Edition
Financial services regulatory reform will continue to be active in 2020, with developments percolating in all three branches of government. As we observe the changing landscape, here is the 2020 Vision Edition of our reference tool, which provides context and summarizes current developments across a range of key regulatory areas,…
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A New Framework for Resolution Plans
By The Davis Polk FIG Team on
The Federal Reserve has approved its long-awaited Final Rule amending and restating the 165(d) resolution planning rule. The FDIC is expected to soon approve an identical rule. The Final Rule is largely unchanged from the Federal Reserve’s and FDIC’s May 2019 joint 165(d) Rule Proposal, and among other things:
- Creates
“Off the Rack”: Federal Reserve Finalizes Tailoring Rules with Few Changes
The Federal Reserve has finalized its rules to further tailor the regulatory framework for enhanced prudential standards and the U.S. Basel III capital and liquidity requirements applicable to domestic banking organizations and foreign banking organizations (Final Tailoring Rules). Compared to the proposed rules that the U.S. banking agencies…
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