Bloomberg Anywhere Login


Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.


Financial Products

Enterprise Products


Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000


Industry Products

Media Services

Follow Us

Fed Requests Comments on Proposals for Dodd-Frank Law

The Marriner S. Eccles Federal Reserve Board building stands in Washington, D.C. Photographer: Joshua Roberts/Bloomberg
The Marriner S. Eccles Federal Reserve Board building stands in Washington, D.C. Photographer: Joshua Roberts/Bloomberg

Feb. 8 (Bloomberg) -- The Federal Reserve requested comment on proposed rules about “systemically important” companies required by the Dodd-Frank Wall Street Reform and Consumer Protection Act overhauling U.S. financial regulation.

The central bank said in a statement today in Washington that it is requesting comment on two rules. The first determines whether a company is “significantly engaged in financial activities,” and the second defines the terms “significant nonbank financial company” and “significant bank holding company.”

The Dodd-Frank Act, signed into law by President Barack Obama in July, requires the Fed to define terms that the Financial Stability Oversight Council, chaired by the Secretary of the Treasury, will use in determining which companies are “systemically important” and subject to additional regulation.

The law defines a company as “significantly engaged in financial activities” if 85 percent or more of its revenue or assets are related to activities deemed to be financial in nature under the Bank Holding Company Act, the Fed said.

The rule proposes making this determination from a two-year test based on consolidated financial statements.

The central bank, taking a usual step in rule-making, is requesting that comment be submitted by March 30.

The authority of designating a firm as “systemically important” rests with the Financial Stability Oversight Council. One criteria the council may use in designating this status is whether a company is engaged in relationships with other “significant” financial companies.

The proposal defines “significant” as a bank holding company or non-bank financial firm with over $50 billion in total consolidated assets.

The Dodd-Frank legislation already established $50 billion as the threshold at which bank holding companies require additional supervision.

To contact the reporter on this story: Joshua Zumbrun in Washington at

To contact the editor responsible for this story: Christopher Wellisz at

Please upgrade your Browser

Your browser is out-of-date. Please download one of these excellent browsers:

Chrome, Firefox, Safari, Opera or Internet Explorer.