In light of the unexpected uninsured deposit outflows experienced by First Republic, we recommend that the Director, Division of Risk Management Supervision comprehensively re-evaluate the Manual to determine whether updates to examination guidance are needed pertaining to the evaluation of banks’ deposit outflow assumptions for liquidity stress testing, including the magnitude and velocity of uninsured deposit outflows.
Questioned Costs
$0
Funds for Better Use
$0
Recommendation Status
Closed
Source UUID
dffd8afc-c469-47d5-91cf-792ecaab7ae9-6
Recommendation Number
6
Significant Recommendation
No