• Home
  • Interviews
  • Business Wisdom
  • Tech & Business
  • Business News
  • Economy
  • Community
  • Login
ValiantCEO
  • Home
  • Interviews
  • Business Wisdom
  • Tech & Business
  • Business News
  • Economy
  • Community
No Result
View All Result
ValiantCEO
  • Home
  • Interviews
  • Business Wisdom
  • Tech & Business
  • Business News
  • Economy
  • Community
No Result
View All Result
valiant
No Result
View All Result

Fed’s Brainard signals that climate change guidance may be coming for big banks.

Jarvis Dobrik by Jarvis Dobrik
October 7, 2021
in Economy
Fed’s Brainard signals that climate change guidance may be coming for big banks.

[ad_1]

Lael Brainard, a Federal Reserve governor, offered the clearest signal yet that America’s central bank is going to begin seriously assessing big banks’ exposure to climate-related financial risks.

Ms. Brainard said the Fed is in the process of developing climate-related scenarios for use in bank’s safety checkups, which are often called stress tests. She also endorsed the use of supervisory guidance — the Fed’s recommendations to banks — to encourage financial institutions to curb their exposures.

“I anticipate it will be helpful to provide supervisory guidance for large banking institutions in their efforts to appropriately measure, monitor, and manage material climate-related risks, following the lead of a number of other countries,” Ms. Brainard said, speaking from remarks prepared for a Fed research conference.

Ms. Brainard said that the Fed is also assessing climate-related risks from a broader perspective — trying to game out what melting ice caps and rampant wildfires could mean for the financial system as a whole.

“We are developing scenario analysis to model the possible financial risks associated with climate change and assess the resilience of individual financial institutions and the financial system to these risks,” she said.

The fact that it is developing climate scenarios puts the Fed more in line with its global counterparts, including the European Central Bank and the Bank of England, that have been examining what climate-related risks could mean for the banking sector. It also comes at a time when the Fed — and Jerome H. Powell, its leader — have faced backlash for moving slowly toward a more concerted climate push.

Mr. Powell had also suggested that the Fed would test banks’ exposure to climate problems, though his remarks, to lawmakers during testimony last week, were not as definitive or as detailed as Ms. Brainard’s. He explained that the Fed’s goal was to make sure regulated banks could manage any of the risks that threats like climate change pose.

“Scenario analysis is almost certainly going to be one of the principal tools for doing exactly that,” Mr. Powell said.

The central bank oversees the nation’s largest banks, including institutions such as Goldman Sachs and Bank of America.

[ad_2]

Source link

Previous Post

Tarik Khribech, Founder of Allbetter – Making the Experience of Homeowners and Contractors ‘Allbetter’

Next Post

Tax Planning Services

Jarvis Dobrik

Jarvis Dobrik

Valuer | Photographer | Writer Motivating the world through Entrepreneurship and Self-Growth Quality over quantity.

Next Post
Taxing Services

Tax Planning Services

Please login to join discussion
The Role of Technology in the Hiring Process Since COVID-19
Interviews

One Question Interview Series #2: The Role of Technology in the Hiring Process Since COVID-19

by Jed Morley
August 9, 2022
0

Since Covid-19, many businesses have had to change how they operate. Six business owners and leaders shared how their companies...

Read more
A Modern Business Owner's Guide To Securing Their Business Data

A Modern Business Owner’s Guide To Securing Their Business Data

August 9, 2022
What Has Changed About Video Chat Calling?

What Has Changed About Video Chat Calling?

August 9, 2022
How to Write the Best Academic Paper

How to Write the Best Academic Paper

August 9, 2022
Mor Shapiro

More Than Just Ben Shapiro’s Wife: Mor Shapiro

August 8, 2022

Valiant CEOs & Entrepreneurs Share, Inspire, and Celebrate Outrageously Successful Ethical Businesses and their Leaders.

Contact Us

staff@valiantceo.com

Follow Us

Browse by Category

  • Business News
  • Business Wisdom
  • Interviews
  • Community
  • Tech & Business
  • Economy

Links

  • About us
  • Cookie Policy
  • Editorial Policy
  • Privacy & Policy
  • Contact
  • VIP Author

Recent News

The Role of Technology in the Hiring Process Since COVID-19

One Question Interview Series #2: The Role of Technology in the Hiring Process Since COVID-19

August 9, 2022
A Modern Business Owner's Guide To Securing Their Business Data

A Modern Business Owner’s Guide To Securing Their Business Data

August 9, 2022

© 2021 ValiantCEO - All rights reserved

No Result
View All Result
  • Home
  • Interviews
  • Business Wisdom
  • Tech & Business
  • Business News
  • Economy
  • Community

© 2021 valiantceo

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In