SFNet Outlines Next Steps on Proposed Basel III Bank Capital Rules

SFNet’s Advocacy Committee is planning next steps in response to the banking agencies’ proposed bank capital rule changes (Basel III Endgame) we alerted you to last month, including direct outreach to lawmakers, preparing questions to submit to lawmakers during an upcoming hearing and potentially submitting a revised comment letter to address specific concerns with the rules.  SFNet’s focus remains on more closely aligning the credit risk mitigation framework and capital charge requirements to true credit risks in secured lending, including appropriately recognizing core asset-based lending collateral such as receivables and inventory.  

As soon as SFNet’s comments are finalized, we will publish a link in TSL Express. We encourage bank members to submit their own comment letters, which must be filed by June 18, and to incorporate SFNet’s key concerns and recommendations so the asset-based lending perspective is clearly and consistently reflected in the record.  Should you have any questions about submission of comments or other topics, please reach out to Michele Ocejo at mocejo@sfnet.com.