The FDIC, the Federal Reserve Board, the Office of the
Comptroller of the Currency, the SEC and the CFTC (collectively,
the "agencies") proposed excluding certain community banks
from the
Volcker Rule. In addition, the proposal would permit a banking
entity to share a name with a covered fund that it organizes and
offers under certain circumstances. The proposal would amend the
regulations implementing the Volcker Rule, consistent with the
statutory amendments made pursuant to Sections 203 and 204 of the
Economic Growth, Regulatory Relief and Consumer
Protection Act ("EGRRCPA").
Pursuant to Section 203 of the EGRRCPA, the proposal would
exclude a community bank from the restrictions of the Volcker Rule
if both of the following conditions are met: (i) it has total
consolidated assets equal to or less than $10 billion, and (ii) its
trading assets and liabilities are equal to or less than five
percent of its total consolidated assets.
