Federal Reserve Board drops reputational risk from exams, aligning with OCC and FDIC shift
By 
Aaron Nicodemus2025-06-26T15:37:00
Bank examiners at the Federal Reserve Board will no longer assess reputational risk during examinations, a concession to the banking industry already underway with two other U.S. regulators.
The Fed announced the change Monday, saying that references to reputational risk will be removed from all supervisory materials, including examination manuals. References to reputational risk will be replaced, the Fed said, with “more specific discussions of financial risk.”
In dropping reputational risk from examinations, the Fed joined the Treasury’s Office of the Comptroller of the Currency (OCC), which made a similar announcement in March, while leaders within the Federal Deposit Insurance Corporation (FDIC) have indicated the agency will follow the trend.
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