The Federal Reserve will release the results of its Dodd-Frank Act stress tests June 22, and determinations from the Comprehensive Capital Analysis and Review will be released June 28.
Bank holding companies with more than $50 billion in assets are required to take part in the Federal Reserve's exercises. The Dodd-Frank Act stress tests examine whether these banks have sufficient capital to sustain losses and keep lending in a serious recession. CCAR evaluates their capital planning processes, capital adequacy and planned capital actions.
For this year's round of tests, 34 companies are undergoing stress testing and have submitted capital plans under CCAR. CIT Group Inc. is the only company in this year's testing that is new to the process.
Thirteen bank holding companies are subject to both a quantitative and qualitative review in CCAR, while the rest are only undergoing a quantitative review due to a recent exemption.