The FR Y-14A report collects detailed data on bank holding companies' (BHCs) and intermediate holding companies' (IHCs) quantitative projections of balance sheet assets and liabilities, income, losses, and capital across a range of macroeconomic scenarios and qualitative information on methodologies used to develop internal projections of capital across scenarios. The report is comprised of Summary, Macro Scenario, Regulatory Capital Instruments, Regulatory Capital Transitions, Operational Risk, Business Plan Changes, and Retail Repurchase Exposures schedules, each with multiple supporting sub-schedules. The number of schedules a respondent must complete is subject to materiality thresholds and certain other criteria. Respondents report projections on the FR Y-14A schedules across supervisory scenarios as well as firm-defined scenarios. One or more of the macroeconomic scenarios includes a market risk shock that the firm will assume when making trading and counterparty loss projections. Respondents are also required to submit qualitative information supporting their projections, including descriptions of the methodologies used to develop the internal projections of capital across scenarios and other analyses that support their comprehensive capital plans.
Purpose: The data are used to assess the capital adequacy of large BHCs and IHCs using forward-looking projections of revenue and losses, to support supervisory stress test models and continuous monitoring efforts, and to inform the Federal Reserve's operational decision making as it continues to implement the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010.
In June 2009, the Federal Reserve conducted the Supervisory Capital Assessment Program (SCAP), a "stress test" that focused on identifying whether large, domestic BHCs had capital sufficient to weather a more-adverse-than-anticipated economic environment while maintaining their capacity to lend. In 2011, the Federal Reserve continued its supervisory evaluation of the resiliency and capital adequacy processes through the Comprehensive Capital Analysis and Review (CCAR) 2011. The CCAR 2011 involved the Federal Reserve's forward-looking evaluation of the internal capital planning processes of the BHCs and their anticipated capital actions in 2011, such as increasing dividend payments or repurchasing or redeeming stock; evaluating whether these BHCs had satisfactory processes for identifying capital needs; and evaluating whether these BHCs held adequate capital to maintain ready access to funding, continue operations, and meet their obligations to creditors and counterparties, and continue to serve as credit intermediaries, even under stressful conditions. During the fall of 2011, the Federal Reserve implemented the FR Y-14A/Q. In 2016, the Federal Reserve published a final notice in the Federal Register (81 FR 35016) requiring intermediate holding companies of foreign banking organizations to file certain regulatory reports and comply with the information collection requirements associated with regulatory capital requirements, including the FR Y-14 reports with submissions as of December 31, 2016.
The respondent panel is comprised of any top-tier BHC or IHC that has $50 billion or more in total consolidated assets as determined based on: (i) the average of the firm's total consolidated assets in the four most recent quarters as reported quarterly on the Consolidated Financial Statements for Bank Holding Companies (FR Y-9C) (OMB No. 7100-0128); or (ii) the average of the firm's total consolidated assets in the most recent consecutive quarters as reported quarterly on the FR Y-9Cs, if the firm has not filed an FR Y-9C for each of the most recent four quarters. Participation is mandatory.
The annual schedules are reported as of December 31 each year. Certain schedules are semi-annual and also reported as of June 30 each year, including the Summary, Scenario, and Retail Repurchase Exposures schedules. For the annual Trading and Counterparty worksheets (contained in the Summary schedule), the data will be as of a specified date in the first quarter.
The Federal Reserve publishes a summary of results from the latest supervisory stress tests conducted as part of the Dodd-Frank Act and the related results from the Comprehensive Capital Analysis and Review (CCAR). The instructions, scenarios, and further information regarding the Dodd-Frank Act stress tests and CCAR are available on the Federal Reserve's website.