The US Federal Reserve has announced it will test 31 major US banks in 2012 to see if they can deal with a severe economic shock, part of Wall Street reforms aimed at preventing a fresh financial crisis.
The announcement means the Fed is adding 12 new banks to its stress-testing regimen after examining 19 this year. It said any bank or bank holding company with assets worth more than $50 billion will now be subjected to tests.
“The level of detail and analysis expected in each institution’s capital plan will vary based on the company’s size, complexity, risk profile, and scope of operations,” the Federal Reserve said.