OCC Tells Banks to Start Planning Safe Phase-out of Swaps Trades
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U.S. regulators released letters telling JPMorgan Chase & Co., Bank of America Corp. and other banks to safely shed derivatives, granting them two more years to wall off such trades from units that get federal backing.
The Office of the Comptroller of the Currency sent the approval letters yesterday to the banks, also including Citigroup Inc., Wells Fargo & Co., Morgan Stanley, HSBC Holdings Plc and U.S. Bancorp. Each bank now has until July 2015 to come up with “orderly” ways to comply with Dodd-Frank Act rules meant to limit taxpayer vulnerability to riskier bank trading.