The Federal Reserve said on
Wednesday that it had approved a final rule to clarify the process the new U.S.
risk council will follow when it begins designating nonbank financial firms for
heightened oversight, Reuters
reported. That group of regulators known as the Financial
Stability Oversight Council is responsible for determining which nonbank firms
are so critical that their failure could threaten the financial system.
Regulators have not yet designated nonbank firms as systemically important,
although three firms are said to be in the final stages of consideration.