Risk

FDIC signals greater scrutiny of commercial real estate loans

“CRE loan concentrations add dimensions of risk that necessitate continued attention from banks and their regulators, especially as the pandemic lingers and uncertainties remain,” the FDIC said last week.

By Anna Hrushka • Aug. 9, 2022

Warren asks OCC to scrap Trump-era crypto guidance — and recent work

The OCC, FDIC and Fed said in November they planned to provide more clarity this year on permissible digital asset activity. A letter from the senator last week challenges the agencies to follow through.

By Dan Ennis • Aug. 8, 2022

Explore the Trendline➔

Fraud and AML in banking

ESG is the latest silo to face fraud-related scrutiny from regulators. Meanwhile, the SEC is staffing up its cyber unit to fight a potential uptick in crypto fraud.

By Banking Dive staff

Goldman, Citi, Jefferies reveal ‘August surprises’ to stave off September ones

Warnings of a CFPB probe into Goldman's credit-card business, Citi's rising Russia exposure and Jefferies' $80 million WhatsApp set-aside give investors time to settle in to bad news.

By Dan Ennis • Aug. 5, 2022

NDAA provision would make cyber agency a bank regulator, trade groups say

The bill would create a designation for systemically important entities, and require them to report information to the Cybersecurity and Infrastructure Security Agency.

By Anna Hrushka • Aug. 3, 2022

How Cogent Bank treats cannabis account holders like ‘any other client’

To help broaden the lender’s cannabis banking program, Cogent Bank partnered with Green Check Verified, a fintech that works with banks to provide compliant cannabis banking services.

By Anna Hrushka • July 29, 2022

Crypto ‘citizen’s arrests’ may continue until Congress wrangles ‘Wild West’

The SEC, DOJ and Treasury are all patrolling the digital asset space. The CFTC is calling for unity. And lawmakers’ vision for a cohesive strategy just took a summer vacation.

By Dan Ennis • July 28, 2022

Crypto firm Voyager accuses FTX of tanking bankruptcy process

By publicly offering Voyager customers access to cash for their stranded assets, FTX is “chilling” Voyager’s once-private trawl for buyers with a “low-ball bid dressed up as a white knight rescue,” the bankrupt crypto firm said.

By Dan Ennis • July 26, 2022

NCUA cyber breach rule would give credit unions longer reporting window than banks

The time frame falls in line with the Critical Infrastructure Act that President Joe Biden signed in March, but is twice as long as the reporting window banks have had to comply with since May.

By Anna Hrushka • July 25, 2022

Pennsylvania county looks to divest $145M in assets from Wells Fargo

County officials may issue a request for proposals to find a new bank. Wells Fargo has donated to organizations that support anti-abortion candidates even though it touts a policy that reimburses staff for abortion-related travel.

By Dan Ennis • July 22, 2022

HSBC agrees to sell Russia footprint to Expobank, exit the country

Financial terms of the deal were not disclosed. The transaction, though, must be approved by a Russian government commission.

By Dan Ennis • July 21, 2022

Goldman slows hiring, plans to reinstate potential job-cut tool

The bank suspended annual performance reviews during the pandemic. But it has bolstered its headcount by 15% in a 12-month span and is seeing dwindling returns in investment banking and asset management.

By Dan Ennis • July 19, 2022

Wells Fargo, State Street gambles highlight earnings' good, bad, uneasy

Wells lost $576 million over equity securities but is also bolstering its reserves by that much. Meanwhile, State Street wants to renegotiate the price of an acquisition.

By Dan Ennis • July 18, 2022

Morgan Stanley sets aside $200M over personal-device misuse probe

The disclosure, in the bank’s earnings report Thursday, follows warnings by Citi, Goldman Sachs and HSBC regarding regulator activity. The figure mirrors an amount JPMorgan paid in December over similar allegations.

By Dan Ennis • July 14, 2022

SEC asked Citi for more detail on Russia exposure

The regulator wanted the bank to list any harm to assets or valuation, as well as the impact the bank has felt from supply chain disruption, heightened cybersecurity risks or volatility in the trading price of commodities.

By Dan Ennis • July 11, 2022

Brainard urges more oversight of crypto

The Federal Reserve vice chair on Friday said the May collapse of the Terra stablecoin, which wiped out millions of dollars in a matter of days, was “reminiscent of classic runs throughout history.”

By Anna Hrushka • July 11, 2022

Crypto brokerage Voyager files for Chapter 11 bankruptcy

The move allows the company to reorganize as it seeks to recover losses from a defaulted loan to hedge fund Three Arrows. A firm owned by FTX CEO Sam Bankman-Fried is Voyager's largest creditor.

By Dan Ennis • July 6, 2022

Meta to shutter Novi digital currency project Sept. 1

The company’s website tells users how to withdraw funds and access transaction data that they’ll lose access to once the Novi pilot ends. Meta, however, said it plans to use Novi’s technology in future projects.

By Dan Ennis • July 5, 2022

3 potential buyers emerge for Citi's Russia operations

An insurance firm and banks that once served as Russian subsidiaries of Barclays and Société Générale are in the running to snag a footprint the U.S. bank has been looking to shed for 15 months, according to the Financial Times.

By Dan Ennis • July 1, 2022

Bank regulators' heightened scrutiny of AI highlights third-party risk

As regulators signal a tighter focus on artificial intelligence and machine learning, banks need to be vigilant about their internal models, as well as the models used by vendors, an expert says.

By Anna Hrushka • June 29, 2022

Goldman boosts dividend as JPMorgan, Citi stand pat

Shareholder returns are expected to see a 13.6% average increase across the six biggest U.S. banks — far less than the 40.4% average jump between 2020 and 2021.

By Dan Ennis • June 28, 2022

Cannabis banking nixed from competition bill

Bowing to Republican demand, leaders from both parties decided to exclude the Secure and Fair Enforcement Banking Act from the bicameral version of the America COMPETES Act.

By Anna Hrushka • June 24, 2022

Fed failure in fighting inflation 'not an option,' Powell says

The Federal Reserve announced a 0.75 percentage point increase in the main interest rate and indicated that policymakers plan more aggressive tightening in coming months.

By Jim Tyson • June 15, 2022

SEC investigates Goldman Sachs' ESG mutual funds

The agency fined BNY Mellon over ESG misstatements, and another regulator participated in a raid of Deutsche Bank’s DWS over greenwashing claims. ESG investments have nearly tripled since 2020, according to Morningstar.

By Dan Ennis • June 13, 2022

BMO poaches next chief risk officer from Citi

Piyush Agrawal, Citi’s global head of climate risk, will join the Canadian bank July 1, ahead of the retirement of its current CRO, Patrick Cronin.

By Robin Bradley • June 10, 2022

CFPB, alternative lender Upstart end no-action letter

The bureau had asked for more time to review time-sensitive changes to Upstart’s model. That, and the CFPB’s shift away from the no-action letter program, prompted Upstart to request to cut its agreement short.

By Dan Ennis • June 10, 2022