The Federal Reserve Board announced its approval of the final living will rule today, clearing the way for implementation of the financial institutions’ resolution plan mandated by the Dodd-Frank Act and approved by the Federal Deposit Insurance Corp. on Sept. 13. Under the plan, designated banks and non-banks with more than $50 billion in assets must submit their plans to the supervisory agencies annually, with details on how to dismantle the institutions if they become insolvent.
The Financial Stability Oversight Council will be responsible for assigning the title of Systemically Important Financial Institutions, or SIFIs, to financial institutions that will be subject to the rule. “The first group of companies, generally those with $250 billion or more
