Fed’s new LFI regime most lenient since 2020
Revised rating system could cut not-well-managed share to its lowest since framework’s introduction
The Federal Reserve’s overhaul of the large financial institution (LFI) rating system is set to produce the smallest proportion of firms classed as not well managed since at least 2020, after the regulator eased the requirements for obtaining well-managed status.
On November 5, the Fed finalised changes to its supervisory rating framework for LFIs, which evaluates firms across three components
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