Europe’s banks fret over US stress tests
The Federal Reserve's foreign bank stress tests could expose weak capital planning at European banks – and set up a showdown with the EU authorities
Imagine meeting the qualifying time for the New York City marathon on European soil, only to be told you must qualify again in the US under tougher conditions before you can compete. In essence, that's what 13 large global banks will be asked to do when the US Federal Reserve begins stress testing the capital planning of foreign banking organisations (FBOs) in 2017.
The Fed's Comprehensive Capital
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