(a) Purpose. This part establishes a minimum liquidity standard and a minimum
stable funding standard for certain Board-regulated institutions on
a consolidated basis, as set forth herein.
(b) Applicability.
(1) A Board-regulated institution is subject to the minimum
liquidity standard and a minimum stable funding standard, and other
requirements of this part if:
(i) It is a:
(A) Global systemically important BHC;
(B) GSIB depository institution;
(C) Category II Board-regulated institution;
(D) Category III Board-regulated institution;
or
(E) Category IV Board-regulated
institution with $50 billion or more in average weighted short-term
wholesale funding;
(ii) It is a covered nonbank company; or
(iii) The Board has determined that
application of this part is appropriate in light of the Board-regulated
institution’s asset size, level of complexity, risk profile, scope
of operations, affiliation with foreign or domestic covered entities,
or risk to the financial system.
(2) This part does not apply to:
(i) A bridge financial company as
defined in 12 U.S.C. 5381(a)(3), or a subsidiary of a bridge financial
company; or
(ii) A new depository
institution or a bridge depository institution, as defined in 12 U.S.C.
1813(i).
(3) In making
a determination under paragraph (b)(1)(iii) of this section, the Board
will apply, as appropriate, notice and response procedures in the
same manner and to the same extent as the notice and response procedures
set forth in 12 CFR 263.202.
(c) Covered nonbank companies. The Board will
establish a minimum liquidity standard and minimum stable funding
standard and other requirements for a designated company under this
part by rule or order. In establishing such standards, the Board will
consider the factors set forth in sections 165(a)(2) and (b)(3) of
the Dodd-Frank Act and may tailor the application of the requirements
of this part to the designated company based on the nature, scope,
size, scale, concentration, interconnectedness, mix of the activities
of the designated company, or any other risk-related factor that the
Board determines is appropriate.
