US regulators’ latest attempt to restrict banking executive bonuses is likely to fall short amid hesitation from the Federal Reserve, but the long-awaited proposal is poised to resurface in 2025 if President Joe Biden is re-elected.
Three agencies—the Federal Deposit Insurance Corp., the Office of the Comptroller of the Currency, and the Federal Housing Finance Agency—released a proposed rule May 6 that would potentially require clawbacks of incentive compensation for top executives and “risk takers” when a bank fails or engages in significant misconduct.
But the Fed and the Securities Exchange Commission didn’t sign on to the latest proposal, ...
Learn more about Bloomberg Law or Log In to keep reading:
See Breaking News in Context
Bloomberg Law provides trusted coverage of current events enhanced with legal analysis.
Already a subscriber?
Log in to keep reading or access research tools and resources.