Proposed Agency Information Collection Activities; Comment Request, 43680-43683 [2018-18430]

Download as PDF 43680 Federal Register / Vol. 83, No. 166 / Monday, August 27, 2018 / Notices NOTIFICATION PROCEDURES: Direct inquiries as whether this system contains a record pertaining to an individual to the Privacy Act Officer, Federal Housing Finance Agency, 400 7th Street SW, Washington, DC 20219, or privacy@fhfa.gov in accordance with the procedures set forth in 12 CFR part 1204. EXEMPTIONS PROMULGATED FOR THE SYSTEM: None. HISTORY: The Reasonable Accommodation Information System (FHFA–18) system of records was last published in the Federal Register on August 9, 2012 (77 FR 47641, 47646). Dated: August 21, 2018. Melvin L. Watt, Director, Federal Housing Finance Agency. [FR Doc. 2018–18411 Filed 8–24–18; 8:45 am] BILLING CODE 8070–01–P FEDERAL RESERVE SYSTEM Proposed Agency Information Collection Activities; Comment Request amozie on DSK3GDR082PROD with NOTICES1 SUMMARY: The Board of Governors of the Federal Reserve System (Board) invites comment on a proposal to implement a new information collection, the Report of Institution-to-Aggregate Granular Data on Assets and Liabilities on an Immediate Counterparty Basis (FR 2510)(OMB No. 7100-to be assigned). DATES: Comments must be submitted on or before October 26, 2018. ADDRESSES: You may submit comments, identified by FR 2510, by any of the following methods: • Agency website: http:// www.federalreserve.gov. Follow the instructions for submitting comments at http://www.federalreserve.gov/apps/ foia/proposedregs.aspx. • Federal eRulemaking Portal: http:// www.regulations.gov. Follow the instructions for submitting comments. • Email: regs.comments@ federalreserve.gov. Include OMB number in the subject line of the message. • Fax: (202) 452–3819 or (202) 452– 3102. • Mail: Ann E. Misback, Secretary, Board of Governors of the Federal Reserve System, 20th Street and Constitution Avenue NW, Washington, DC 20551. 17:51 Aug 24, 2018 Jkt 244001 A copy of the PRA OMB submission, including the proposed reporting form and instructions, supporting statement, and other documentation will be placed into OMB’s public docket files, once approved. These documents will also be made available on the Board’s public website at: http:// www.federalreserve.gov/apps/ reportforms/review.aspx or may be requested from the agency clearance officer, whose name appears below. Federal Reserve Board Clearance Officer—Nuha Elmaghrabi—Office of the Chief Data Officer, Board of Governors of the Federal Reserve System, Washington, DC 20551, (202) 452–3829. Telecommunications Device for the Deaf (TDD) users may contact (202) 263–4869, Board of Governors of the Federal Reserve System, Washington, DC 20551. FOR FURTHER INFORMATION CONTACT: Board of Governors of the Federal Reserve System. ACTION: Notice, request for comment. AGENCY: VerDate Sep<11>2014 All public comments are available from the Board’s website at http:// www.federalreserve.gov/apps/foia/ proposedregs.aspx as submitted, unless modified for technical reasons. Accordingly, your comments will not be edited to remove any identifying or contact information. Public comments may also be viewed electronically or in paper form in Room 3515, 1801 K Street (between 18th and 19th Streets NW) Washington, DC 20006 between 9:00 a.m. and 5:00 p.m. on weekdays. For security reasons, the Board requires that visitors make an appointment to inspect comments. You may do so by calling (202) 452–3684. Upon arrival, visitors will be required to present valid government-issued photo identification and to submit to security screening in order to inspect and photocopy comments. Additionally, commenters may send a copy of their comments to the OMB Desk Officer—Shagufta Ahmed—Office of Information and Regulatory Affairs, Office of Management and Budget, New Executive Office Building, Room 10235, 725 17th Street NW, Washington, DC 20503 or by fax to (202) 395–6974. On June 15, 1984, the Office of Management and Budget (OMB) delegated to the Board authority under the Paperwork Reduction Act (PRA) to approve and assign OMB control numbers to collection of information requests and requirements conducted or sponsored by the Board. In exercising this delegated authority, the Board is directed to take every reasonable step to solicit comment. In determining whether to approve a collection of information, the Board will consider all SUPPLEMENTARY INFORMATION: PO 00000 Frm 00047 Fmt 4703 Sfmt 4703 comments received from the public and other agencies. Request for Comment on Information Collection Proposal The Board invites public comment on the following information collection, which is being reviewed under authority delegated by the OMB under the PRA. Comments are invited on the following: a. Whether the proposed collection of information is necessary for the proper performance of the Board’s functions; including whether the information has practical utility; b. The accuracy of the Board’s estimate of the burden of the proposed information collection, including the validity of the methodology and assumptions used; c. Ways to enhance the quality, utility, and clarity of the information to be collected; d. Ways to minimize the burden of information collection on respondents, including through the use of automated collection techniques or other forms of information technology; and e. Estimates of capital or startup costs and costs of operation, maintenance, and purchase of services to provide information. At the end of the comment period, the comments and recommendations received will be analyzed to determine the extent to which the Board should modify the proposal prior to giving final approval. Proposal under OMB delegated authority to implement the following report: Report title: Report of Institution-toAggregate Granular Data on Assets and Liabilities on an Immediate Counterparty Basis. Agency form number: FR 2510. OMB control number: 7100-to be assigned. Frequency: Quarterly, beginning with the reporting period ending on March 31, 2019. Reporters: Bank holding companies headquartered in the United States that are global systemically important bank holding companies (U.S. G–SIBs) under the Board’s rules. Estimated annual reporting hours: One-time implementation: 8,000 hours; ongoing: 18,176 hours. Estimated average hours per response: One-time implementation: 1,000 hours; ongoing: 568 hours. Number of respondents: 8 General description of report: The proposed FR 2510 would collect granular exposure data on the assets, liabilities, and off-balance sheet holdings of U.S. G–SIBS, providing E:\FR\FM\27AUN1.SGM 27AUN1 amozie on DSK3GDR082PROD with NOTICES1 Federal Register / Vol. 83, No. 166 / Monday, August 27, 2018 / Notices breakdowns by instrument, currency, maturity, and sector. The FR 2510 would also collect data covering detailed positions for the top 35 countries of exposure, broken out by instrument and counterparty sector, with limited further break outs by remaining maturity, subject to a $2 billion minimum threshold for country exposure, on an immediate-counterparty basis, as reported in the consolidated Country Exposure Report of the Federal Financial Institutions Examination Council (FFIEC 009). Further, the report would collect information on financial derivatives by instrument type and foreign exchange derivatives by currency. The FR 2510 supports a more complete balance sheet analysis with richer details regarding common or correlated exposures and funding dependencies by providing more information about U.S. G–SIBs’ consolidated exposures and funding positions to different countries according to instrument, counterparty sector, currency, and remaining maturity. Proposed Information Collection: The proposed FR 2510 would implement in the U.S. an internationally-agreed common data template for G–SIBs (global I–A template) designed to facilitate the aggregation and analysis of consistent and comparable data from G– SIBs based in different jurisdictions. The FR 2510 would consist of three schedules that each U.S. G–SIB would submit quarterly. The schedules would include consolidated balance sheet information about the U.S. G–SIB, including the G–SIB’s foreign country exposures, broken out by instrument, currency, remaining maturity, counterparty country, and counterparty sector. The FR 2510 also would capture information on notional and fair-value amounts for financial derivatives and foreign exchange derivatives across underlying instruments and currencies. In implementing this internationallyagreed template for U.S. G–SIBs, the FR 2510 is intended to build on, and complement, two existing data collections: the FFIEC 009 and the Consolidated Financial Statements for Holding Companies (FR Y 9C). Relative to the FFIEC 009 and FR Y–9C, the FR 2510 would provide significantly more detail regarding the balance sheet and derivatives exposures of U.S. G–SIBs. This information would facilitate supervisory monitoring and analysis of common or correlated exposures and funding dependencies across G–SIBs. In doing so, the FR 2510 (together with corresponding collections in other jurisdictions) would provide valuable systemic information to supervisors and VerDate Sep<11>2014 17:51 Aug 24, 2018 Jkt 244001 policymakers and a heightened focus on improving firms’ ability to aggregate and report their exposures and positions in a consistent, timely, and accurate manner. The proposed data collection has been developed in cooperation with the Financial Stability Board (FSB). Implementation is being coordinated with respective host-country jurisdictions for non-U.S. G–SIBs under the aegis of the Multilateral Framework, a memorandum of understanding that governs the provision and reporting of confidential G–SIB data under tight security to the International Data Hub (IDH) hosted by the Bank for International Settlements (BIS). Through this mechanism, data collected via the FR 2510 would be gathered and transmitted securely to the IDH. These data would be combined by the IDH with corresponding data from other jurisdictions, and would be used by the IDH to produce analytical reports that would provide unique and authoritative aggregation and comparison of these banks’ positions. For example, from a supervisory perspective, IDH reports would provide important comparative information across G–SIBs, detailed information on G–SIB exposures to central counterparties (CCPs) and fuller information than is otherwise available on how foreign banking organizations (FBOs) fund their U.S. operations. From a financial stability perspective, IDH reports help to reveal risks associated with key common counterparties (e.g., sovereign exposures) among G–SIBs, and illuminate volumes and patterns by which non-U.S. G–SIBs manage their dollar-based funding (and which in turn can have implications for dollar-based funding markets). The global I–A template would enhance that value by providing, for example, more detail on potential currency and maturity mismatches between assets and funding at the G–SIBs, which in turn could reveal emerging risk management needs at the individual institutions as well as the extent to which a crisis in a given currency might propagate through bank balance sheets. The global I–A template, which the FR 2510 would implement for U.S. G– SIBs, thus facilitates the compilation of consistent and comparable data from G– SIBs based in different jurisdictions. This template (and thus the FR 2510) was developed as a more detailed extension of, and complement to, existing aggregate data collections conducted by the BIS from national regulatory authorities for use in its Consolidated Banking Statistics (CBS). In the United States, these existing PO 00000 Frm 00048 Fmt 4703 Sfmt 4703 43681 aggregated data are based on information collected using the FFIEC 009. The Board presently transmits data it collects through the FFIEC 009 at the consolidated bank holding company level from the U.S. G–SIBs to the IDH. The proposal would expand this existing process to encompass a larger set of more granular data items. As noted, the FFIEC 009 and FR Y– 9C regulatory reports provide limited information about the foreign exposures and foreign exchange risk of U.S. banking organizations. The FFIEC 009 requires certain banks, savings associations, bank holding companies, savings and loan holding companies, and U.S. intermediate holding companies of foreign banks to report aggregate foreign exposure information on both an immediate-counterparty basis (on the basis of the country of residence of the borrower) and ultimaterisk basis (on the basis of the country of residence of any guarantor or collateral). The information reported on the FFIEC 009 is broken out by counterparty 1 type, country, and sector, but without detailed information on the category of financial instrument. Rather, the information reported on the FFIEC 009 represents a respondent’s aggregate exposure to all counterparties of a particular type in a jurisdiction, regardless of the form of the exposure. In addition, the FFIEC 009 only collects liabilities of respondents’ foreign domiciled offices and subsidiaries. The FR Y–9C requires bank holding companies to report more detailed balance sheet information than the FFIEC 009; however, the data reported on the FR Y 9C includes only limited break-outs of data by maturity and no break-outs of data by currency. The proposed FR 2510 represents significant simplifications compared to the previous draft versions shared with the industry (in 2012, 2013, 2014, and 2015), including the removal of certain highly granular criteria that resulted in empty or not meaningful data. These revisions reflect lessons learned from the study itself, as well as feedback on costs and challenges received from the reporting G–SIBs, including through an industry meeting held in May 2015, and on expected benefits provided by potential users in July 2015. 1 The instructions to the FFIEC 009 state that ‘‘[t]he obligor on an immediate-counterparty basis is the entity that issued the security or otherwise incurred the liability. The obligor of a claim on an ultimate-risk basis is any person, business, institution, or instrument that provides any of the types of credit protection described in Section II.F, ‘Required Risk Transfers’ and Section II.H ‘Reporting Credit Derivatives.’ ’’ E:\FR\FM\27AUN1.SGM 27AUN1 43682 Federal Register / Vol. 83, No. 166 / Monday, August 27, 2018 / Notices Data collected in the FR 2510 would facilitate the aggregation and analysis of data from G–SIBs based in different jurisdictions. Key examples of tangible near-term products that the Federal Reserve, other U.S. supervisors, and the IDH would be able to produce with the data from the FR 2510 include: • Aggregate and comparative reports across G–SIBs showing potential currency or maturity imbalances covering the full balance sheet (except derivatives); • An assessment of G–SIBs’ funding needs; and • An assessment of the concentration at the country, sector, or instrument level. Such products would provide significant value, both for supervision of U.S. G–SIBs and for broader analysis of the global financial system. amozie on DSK3GDR082PROD with NOTICES1 Detailed Discussion of Proposed FR 2510 Report Relative to existing data sources, the FR 2510 report would support a more complete balance-sheet analysis of common or correlated exposures and funding dependencies by providing more information about reporting banking organizations’ consolidated exposures to, and funding positions with, different countries according to instrument, counterparty sector, currency, and remaining maturity. The FR 2510 would be used in conjunction with other regulatory and statistical reports. Definitions and structure of the FR 2510, to the extent possible, have been aligned for U.S. implementation with these other U.S. regulatory and statistical reports to minimize reporting burden on U.S. respondents and to maximize analytical consistency with existing U.S. reports. These other reports include the FFIEC 009, the FR Y–9C, the Banking Organization Systemic Risk Report (FR Y–15), the Complex Institution Liquidity Monitoring Report (FR 2052a), and the Semiannual Report of Derivatives Activity (FR 2436). The FR 2510 would be comprised of three schedules that would give a full view of the reporting banking organization’s operations and risks. An overview of the proposed information that would be collected in these three schedules is provided below. (1) The I–A Immediate Counterparty Schedule The I–A Immediate Counterparty schedule (I–A IC) would be the report’s main schedule. This draft schedule would capture information on banking organizations’ asset positions, liability positions, and contingent liabilities on a VerDate Sep<11>2014 17:51 Aug 24, 2018 Jkt 244001 combination of the following five dimensions: (1) Instrument, (2) Currency, (3) Remaining maturity, (4) Counterparty country, and (5) Counterparty sector. The I–A IC positions are allocated to the country and sector where the immediate counterparty resides. Immediate-counterparty positions would be reported in Tables 1 and 2. Table 1 is a consolidated balance sheet of the granular portfolio with total positions broken out by the following seven different currencies: (1) U.S. Dollar, (2) Euro, (3) Japanese Yen, (4) British Pound, (5) Swiss Franc, (6) Yuan Renminbi, and (7) Other currencies. The currencies would be broken out into four remaining maturity categories, as follows: (1) Non-maturity instruments, (2) Overnight to less than three months, (3) 3 months to less than 1 year, and (4) 1 year and over. Table 2 would be a consolidated balance sheet showing I–A exposures by instrument and counterparty sector to countries above the de minimis threshold of $2 billion, with banking organizations completing a table for each country above the threshold, with total positions by counterparty sector and by remaining maturity. At the time the global I–A template was developed, it was estimated that these de mimimis rules would nonetheless cover 97 percent of total claims extended to counterparties in 79 countries (based on BIS CBS). Maximum coverage would be provided for advanced economies (99 percent), while lower percentages would result for Africa and Middle East (65 percent) and Emerging Europe (85 percent). Positions would be reported along the following counterparty sectors: (1) Banks, (2) Non-bank financial institutions, (3) Non-financial corporations, (4) Households, (5) Government, and (6) Unallocated by sector. Positions would be broken out into the following three remaining maturity categories: (1) Non-maturity instruments, (2) Less than 1 year, and (3) 1 year and over. (2) Financial Derivatives Schedule The Financial Derivatives schedule would capture details on the gross fair- PO 00000 Frm 00049 Fmt 4703 Sfmt 4703 value (mark-to-market) and notional amounts of financial derivatives broken out according to certain subcategories of derivative instruments. Information regarding gross fair values (mark-tomarket) and notional amounts would facilitate cross-country comparisons and overcome substantially different offset requirements for derivatives between the accounting standards applied by reporting banking organizations. Derivatives would be reported along the following three categories: (1) Exchange-traded derivatives, (2) Centrally cleared over-the-counter (OTC) derivatives, and (3) Bilateral/uncleared OTC derivatives. Derivatives are reported according to the following six categories of risk: (1) Equity derivatives, (2) Interest rate derivatives, (3) Foreign exchange derivatives, (4) Credit derivatives, (5) Commodity derivatives, and (6) Other derivatives. (3) Foreign Exchange Derivatives Schedule The Foreign Exchange Derivatives schedule would capture gross notional currency derivative positions (separated into short and long positions) for a limited number of foreign exchange derivatives, with details on remaining maturity and currency, but no detail concerning counterparty country and sector. The scope of foreign exchange derivatives would include the following: (1) Currency forwards, (2) Foreign exchange swaps, (3) Currency swaps, and (4) Cross-currency interest rate swaps. For each derivative type, the contract’s remaining maturity would be broken out into the following maturity buckets: (1) Non-maturity instruments (ondemand and open positions), (2) Overnight to less than 3 months, (3) 3 months to less than 1 year, and (4) 1 year and over. Legal authorization and confidentiality: The information collection is authorized under section 5 of the Bank Holding Company Act (12 U.S.C. 1844). The information collected in the FR 2510 would be collected as part of the Board’s supervisory process, and therefore may be afforded confidential treatment pursuant to exemption 8 of the Freedom of Information Act (FOIA) (5 U.S.C. 552(b)(8)). In addition, individual respondents may request that certain data be afforded confidential treatment pursuant to exemption 4 of FOIA if the data has not previously been publically E:\FR\FM\27AUN1.SGM 27AUN1 Federal Register / Vol. 83, No. 166 / Monday, August 27, 2018 / Notices disclosed and the release of the data would likely cause substantial harm to the competitive position of the respondent (5 U.S.C. 552(b)(4)). Determinations of confidentiality based on exemption 4 of FOIA would be made on a case-by-case basis. Consultation Outside the Agency: The Federal Reserve consulted with the Office of the Comptroller of the Currency as well as with potential respondent institutions in developing this proposed report. Several outreach meetings took place to help refine the data items in the proposed schedules and clarify the accompanying instructions. Board of Governors of the Federal Reserve System, August 21, 2018. Ann Misback, Secretary of the Board. [FR Doc. 2018–18430 Filed 8–24–18; 8:45 am] BILLING CODE 6210–01–P FEDERAL TRADE COMMISSION Agency Information Collection Activities; Proposed Collection; Comment Request Federal Trade Commission (FTC or Commission). ACTION: Notice. amozie on DSK3GDR082PROD with NOTICES1 AGENCY: SUMMARY: The information collection requirements described below will be submitted to the Office of Management and Budget (OMB) for review, as required by the Paperwork Reduction Act (PRA). The FTC seeks public comments on the agency’s shared enforcement with the Consumer Financial Protection Bureau (‘‘CFPB’’) of the information collection requirements in subpart N of the CFPB’s Regulation V (‘‘Rule’’). That clearance expires on November 30, 2018. DATES: Comments must be received on or before October 26, 2018. ADDRESSES: Interested parties may file a comment online or on paper by following the instructions in the Request for Comments part of the SUPPLEMENTARY INFORMATION section below. Write ‘‘Paperwork Reduction Act: FTC File No. P072108’’ on your comment, and file your comment online at https://ftcpublic.commentworks.com/ ftc/regulationVsubpartNpra by following the instructions on the webbased form. If you prefer to file your comment on paper, mail or deliver your comment to the following address: Federal Trade Commission, Office of the Secretary, 600 Pennsylvania Avenue NW, Suite CC–5610 (Annex J), Washington, DC 20580, or deliver your VerDate Sep<11>2014 17:51 Aug 24, 2018 Jkt 244001 comment to the following address: Federal Trade Commission, Office of the Secretary, Constitution Center, 400 7th Street SW, 5th Floor, Suite 5610 (Annex J), Washington, DC 20024. FOR FURTHER INFORMATION CONTACT: Requests for copies of the collection of information and supporting documentation should be addressed to Ryan Mehm, Attorney, Bureau of Consumer Protection, (202) 326–2918, Federal Trade Commission, 600 Pennsylvania Ave. NW, Washington, DC 20580. SUPPLEMENTARY INFORMATION: Proposed Information Collection Activities Under the Paperwork Reduction Act (PRA), 44 U.S.C. 3501–3520, federal agencies must get OMB approval for each collection of information they conduct, sponsor, or require. ‘‘Collection of information’’ means agency requests or requirements to submit reports, keep records, or provide information to a third party. 44 U.S.C. 3502(3); 5 CFR 1320.3(c). As required by section 3506(c)(2)(A) of the PRA, the FTC is providing this opportunity for public comment before requesting that OMB extend the existing PRA clearance for FTC’s portion of the estimated burden for the information collection requirements associated with the CFPB’s subpart N of Regulation V, 12 CFR 1022.130–1022.138 (OMB Control Number 3084–0128). The FTC invites comments on: (1) Whether the proposed collection of information is necessary for the proper performance of the functions of the agency, including whether the information will have practical utility; (2) the accuracy of the agency’s estimate of the burden of the proposed collection of information, including the validity of the methodology and assumptions used; (3) ways to enhance the quality, utility, and clarity of the information to be collected; and (4) ways to minimize the burden of the collection of information on those who are to respond. All comments must be received on or before October 26, 2018. I. Overview of the Rule The FTC shares enforcement authority with the CFPB for subpart N of Regulation V.1 Subpart N requires 1 Subpart N sets forth the former FTC’s Free Annual File Disclosures Rule that appeared under 16 CFR parts 610 and 698. Rulemaking authority for this and several other FCRA rules was transferred to the CFBP under Title X of the Dodd-Frank Wall Street Reform and Consumer Protection Act, Public Law 111–203, 124 Stat. 1376 (2010). Title X comprises sections 1001–100H (collectively, the ‘‘Consumer Financial Protection Act of 2010’’). PO 00000 Frm 00050 Fmt 4703 Sfmt 4703 43683 nationwide consumer reporting agencies and nationwide consumer specialty reporting agencies to provide to consumers, upon request, one free file disclosure within any 12-month period. Generally, it requires the nationwide consumer reporting agencies, as defined in Section 603(p) of the Fair Credit Reporting Act (‘‘FCRA’’), 15 U.S.C. 1681a(p), to create and operate a centralized source that provides consumers with the ability to request their free annual file disclosures from each of the nationwide consumer reporting agencies through a centralized internet website, toll-free telephone number, and postal address. Subpart N also requires the nationwide consumer reporting agencies to establish a standardized form for internet and mail requests for annual file disclosures, and provides a model standardized form that may be used to comply with that requirement. It additionally requires nationwide specialty consumer reporting agencies, as defined in Section 603(w) of the FCRA, 15 U.S.C. 1681a(w), to establish a streamlined process for consumers to request annual file disclosures. This streamlined process must include a toll-free telephone number for consumers to make such requests. II. Burden Statement Because the FTC shares enforcement authority with the CFPB for subpart N, the two agencies split between them the related estimate of PRA burden for firms under their co-enforcement jurisdiction. Estimated PRA burden, excluding the halving (to be shown at the conclusion of this analysis), are as follows: A. Requests per Year From Consumers for Free Annual File Disclosures The Consumer Data Industry Association estimated that in 2011, the nationwide consumer reporting agencies provided approximately 30 million free annual file disclosures through the centralized internet website, toll-free telephone number, and postal address required to be established by the FACT Act and subpart N.2 When it last sought clearance renewal for the Rule, the FTC had been unable to obtain, through public comment or otherwise, updated information on request volume. As a proxy, it then assumed a volume of 35 million requests per year. We expect that the number of requests for free annual credit reports will rise over the 2 See Consumer Financial Protection Bureau Report to Congress, The Impact of Differences Between Consumer- and Creditor-Purchased Credit Scores, at 9 (July 19, 2011), available at https:// files.consumerfinance.gov/f/2011/07/Report_ 20110719_CreditScores.pdf. E:\FR\FM\27AUN1.SGM 27AUN1

Agencies

[Federal Register Volume 83, Number 166 (Monday, August 27, 2018)]
[Notices]
[Pages 43680-43683]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2018-18430]


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FEDERAL RESERVE SYSTEM


Proposed Agency Information Collection Activities; Comment 
Request

AGENCY: Board of Governors of the Federal Reserve System.

ACTION: Notice, request for comment.

-----------------------------------------------------------------------

SUMMARY: The Board of Governors of the Federal Reserve System (Board) 
invites comment on a proposal to implement a new information 
collection, the Report of Institution-to-Aggregate Granular Data on 
Assets and Liabilities on an Immediate Counterparty Basis (FR 2510)(OMB 
No. 7100-to be assigned).

DATES: Comments must be submitted on or before October 26, 2018.

ADDRESSES: You may submit comments, identified by FR 2510, by any of 
the following methods:
     Agency website: http://www.federalreserve.gov. Follow the 
instructions for submitting comments at http://www.federalreserve.gov/apps/foia/proposedregs.aspx.
     Federal eRulemaking Portal: http://www.regulations.gov. 
Follow the instructions for submitting comments.
     Email: [email protected]. Include OMB 
number in the subject line of the message.
     Fax: (202) 452-3819 or (202) 452-3102.
     Mail: Ann E. Misback, Secretary, Board of Governors of the 
Federal Reserve System, 20th Street and Constitution Avenue NW, 
Washington, DC 20551.

All public comments are available from the Board's website at http://www.federalreserve.gov/apps/foia/proposedregs.aspx as submitted, unless 
modified for technical reasons. Accordingly, your comments will not be 
edited to remove any identifying or contact information. Public 
comments may also be viewed electronically or in paper form in Room 
3515, 1801 K Street (between 18th and 19th Streets NW) Washington, DC 
20006 between 9:00 a.m. and 5:00 p.m. on weekdays. For security 
reasons, the Board requires that visitors make an appointment to 
inspect comments. You may do so by calling (202) 452-3684. Upon 
arrival, visitors will be required to present valid government-issued 
photo identification and to submit to security screening in order to 
inspect and photocopy comments.
    Additionally, commenters may send a copy of their comments to the 
OMB Desk Officer--Shagufta Ahmed--Office of Information and Regulatory 
Affairs, Office of Management and Budget, New Executive Office 
Building, Room 10235, 725 17th Street NW, Washington, DC 20503 or by 
fax to (202) 395-6974.

FOR FURTHER INFORMATION CONTACT: A copy of the PRA OMB submission, 
including the proposed reporting form and instructions, supporting 
statement, and other documentation will be placed into OMB's public 
docket files, once approved. These documents will also be made 
available on the Board's public website at: http://www.federalreserve.gov/apps/reportforms/review.aspx or may be requested 
from the agency clearance officer, whose name appears below.
    Federal Reserve Board Clearance Officer--Nuha Elmaghrabi--Office of 
the Chief Data Officer, Board of Governors of the Federal Reserve 
System, Washington, DC 20551, (202) 452-3829. Telecommunications Device 
for the Deaf (TDD) users may contact (202) 263-4869, Board of Governors 
of the Federal Reserve System, Washington, DC 20551.

SUPPLEMENTARY INFORMATION: On June 15, 1984, the Office of Management 
and Budget (OMB) delegated to the Board authority under the Paperwork 
Reduction Act (PRA) to approve and assign OMB control numbers to 
collection of information requests and requirements conducted or 
sponsored by the Board. In exercising this delegated authority, the 
Board is directed to take every reasonable step to solicit comment. In 
determining whether to approve a collection of information, the Board 
will consider all comments received from the public and other agencies.

Request for Comment on Information Collection Proposal

    The Board invites public comment on the following information 
collection, which is being reviewed under authority delegated by the 
OMB under the PRA. Comments are invited on the following:
    a. Whether the proposed collection of information is necessary for 
the proper performance of the Board's functions; including whether the 
information has practical utility;
    b. The accuracy of the Board's estimate of the burden of the 
proposed information collection, including the validity of the 
methodology and assumptions used;
    c. Ways to enhance the quality, utility, and clarity of the 
information to be collected;
    d. Ways to minimize the burden of information collection on 
respondents, including through the use of automated collection 
techniques or other forms of information technology; and
    e. Estimates of capital or startup costs and costs of operation, 
maintenance, and purchase of services to provide information.
At the end of the comment period, the comments and recommendations 
received will be analyzed to determine the extent to which the Board 
should modify the proposal prior to giving final approval.
    Proposal under OMB delegated authority to implement the following 
report:
    Report title: Report of Institution-to-Aggregate Granular Data on 
Assets and Liabilities on an Immediate Counterparty Basis.
    Agency form number: FR 2510.
    OMB control number: 7100-to be assigned.
    Frequency: Quarterly, beginning with the reporting period ending on 
March 31, 2019.
    Reporters: Bank holding companies headquartered in the United 
States that are global systemically important bank holding companies 
(U.S. G-SIBs) under the Board's rules.
    Estimated annual reporting hours: One-time implementation: 8,000 
hours; ongoing: 18,176 hours.
    Estimated average hours per response: One-time implementation: 
1,000 hours; ongoing: 568 hours.
    Number of respondents: 8
    General description of report: The proposed FR 2510 would collect 
granular exposure data on the assets, liabilities, and off-balance 
sheet holdings of U.S. G-SIBS, providing

[[Page 43681]]

breakdowns by instrument, currency, maturity, and sector. The FR 2510 
would also collect data covering detailed positions for the top 35 
countries of exposure, broken out by instrument and counterparty 
sector, with limited further break outs by remaining maturity, subject 
to a $2 billion minimum threshold for country exposure, on an 
immediate-counterparty basis, as reported in the consolidated Country 
Exposure Report of the Federal Financial Institutions Examination 
Council (FFIEC 009). Further, the report would collect information on 
financial derivatives by instrument type and foreign exchange 
derivatives by currency. The FR 2510 supports a more complete balance 
sheet analysis with richer details regarding common or correlated 
exposures and funding dependencies by providing more information about 
U.S. G-SIBs' consolidated exposures and funding positions to different 
countries according to instrument, counterparty sector, currency, and 
remaining maturity.
    Proposed Information Collection: The proposed FR 2510 would 
implement in the U.S. an internationally-agreed common data template 
for G-SIBs (global I-A template) designed to facilitate the aggregation 
and analysis of consistent and comparable data from G-SIBs based in 
different jurisdictions. The FR 2510 would consist of three schedules 
that each U.S. G-SIB would submit quarterly. The schedules would 
include consolidated balance sheet information about the U.S. G-SIB, 
including the G-SIB's foreign country exposures, broken out by 
instrument, currency, remaining maturity, counterparty country, and 
counterparty sector. The FR 2510 also would capture information on 
notional and fair-value amounts for financial derivatives and foreign 
exchange derivatives across underlying instruments and currencies.
    In implementing this internationally-agreed template for U.S. G-
SIBs, the FR 2510 is intended to build on, and complement, two existing 
data collections: the FFIEC 009 and the Consolidated Financial 
Statements for Holding Companies (FR Y 9C). Relative to the FFIEC 009 
and FR Y-9C, the FR 2510 would provide significantly more detail 
regarding the balance sheet and derivatives exposures of U.S. G-SIBs. 
This information would facilitate supervisory monitoring and analysis 
of common or correlated exposures and funding dependencies across G-
SIBs. In doing so, the FR 2510 (together with corresponding collections 
in other jurisdictions) would provide valuable systemic information to 
supervisors and policymakers and a heightened focus on improving firms' 
ability to aggregate and report their exposures and positions in a 
consistent, timely, and accurate manner.
    The proposed data collection has been developed in cooperation with 
the Financial Stability Board (FSB). Implementation is being 
coordinated with respective host-country jurisdictions for non-U.S. G-
SIBs under the aegis of the Multilateral Framework, a memorandum of 
understanding that governs the provision and reporting of confidential 
G-SIB data under tight security to the International Data Hub (IDH) 
hosted by the Bank for International Settlements (BIS). Through this 
mechanism, data collected via the FR 2510 would be gathered and 
transmitted securely to the IDH. These data would be combined by the 
IDH with corresponding data from other jurisdictions, and would be used 
by the IDH to produce analytical reports that would provide unique and 
authoritative aggregation and comparison of these banks' positions.
    For example, from a supervisory perspective, IDH reports would 
provide important comparative information across G-SIBs, detailed 
information on G-SIB exposures to central counterparties (CCPs) and 
fuller information than is otherwise available on how foreign banking 
organizations (FBOs) fund their U.S. operations. From a financial 
stability perspective, IDH reports help to reveal risks associated with 
key common counterparties (e.g., sovereign exposures) among G-SIBs, and 
illuminate volumes and patterns by which non-U.S. G-SIBs manage their 
dollar-based funding (and which in turn can have implications for 
dollar-based funding markets). The global I-A template would enhance 
that value by providing, for example, more detail on potential currency 
and maturity mismatches between assets and funding at the G-SIBs, which 
in turn could reveal emerging risk management needs at the individual 
institutions as well as the extent to which a crisis in a given 
currency might propagate through bank balance sheets.
    The global I-A template, which the FR 2510 would implement for U.S. 
G-SIBs, thus facilitates the compilation of consistent and comparable 
data from G-SIBs based in different jurisdictions. This template (and 
thus the FR 2510) was developed as a more detailed extension of, and 
complement to, existing aggregate data collections conducted by the BIS 
from national regulatory authorities for use in its Consolidated 
Banking Statistics (CBS). In the United States, these existing 
aggregated data are based on information collected using the FFIEC 009. 
The Board presently transmits data it collects through the FFIEC 009 at 
the consolidated bank holding company level from the U.S. G-SIBs to the 
IDH. The proposal would expand this existing process to encompass a 
larger set of more granular data items.
    As noted, the FFIEC 009 and FR Y-9C regulatory reports provide 
limited information about the foreign exposures and foreign exchange 
risk of U.S. banking organizations. The FFIEC 009 requires certain 
banks, savings associations, bank holding companies, savings and loan 
holding companies, and U.S. intermediate holding companies of foreign 
banks to report aggregate foreign exposure information on both an 
immediate-counterparty basis (on the basis of the country of residence 
of the borrower) and ultimate-risk basis (on the basis of the country 
of residence of any guarantor or collateral). The information reported 
on the FFIEC 009 is broken out by counterparty \1\ type, country, and 
sector, but without detailed information on the category of financial 
instrument. Rather, the information reported on the FFIEC 009 
represents a respondent's aggregate exposure to all counterparties of a 
particular type in a jurisdiction, regardless of the form of the 
exposure. In addition, the FFIEC 009 only collects liabilities of 
respondents' foreign domiciled offices and subsidiaries. The FR Y-9C 
requires bank holding companies to report more detailed balance sheet 
information than the FFIEC 009; however, the data reported on the FR Y 
9C includes only limited break-outs of data by maturity and no break-
outs of data by currency.
---------------------------------------------------------------------------

    \1\ The instructions to the FFIEC 009 state that ``[t]he obligor 
on an immediate-counterparty basis is the entity that issued the 
security or otherwise incurred the liability. The obligor of a claim 
on an ultimate-risk basis is any person, business, institution, or 
instrument that provides any of the types of credit protection 
described in Section II.F, `Required Risk Transfers' and Section 
II.H `Reporting Credit Derivatives.' ''
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    The proposed FR 2510 represents significant simplifications 
compared to the previous draft versions shared with the industry (in 
2012, 2013, 2014, and 2015), including the removal of certain highly 
granular criteria that resulted in empty or not meaningful data. These 
revisions reflect lessons learned from the study itself, as well as 
feedback on costs and challenges received from the reporting G-SIBs, 
including through an industry meeting held in May 2015, and on expected 
benefits provided by potential users in July 2015.

[[Page 43682]]

    Data collected in the FR 2510 would facilitate the aggregation and 
analysis of data from G-SIBs based in different jurisdictions. Key 
examples of tangible near-term products that the Federal Reserve, other 
U.S. supervisors, and the IDH would be able to produce with the data 
from the FR 2510 include:
     Aggregate and comparative reports across G-SIBs showing 
potential currency or maturity imbalances covering the full balance 
sheet (except derivatives);
     An assessment of G-SIBs' funding needs; and
     An assessment of the concentration at the country, sector, 
or instrument level.
    Such products would provide significant value, both for supervision 
of U.S. G-SIBs and for broader analysis of the global financial system.

Detailed Discussion of Proposed FR 2510 Report

    Relative to existing data sources, the FR 2510 report would support 
a more complete balance-sheet analysis of common or correlated 
exposures and funding dependencies by providing more information about 
reporting banking organizations' consolidated exposures to, and funding 
positions with, different countries according to instrument, 
counterparty sector, currency, and remaining maturity. The FR 2510 
would be used in conjunction with other regulatory and statistical 
reports. Definitions and structure of the FR 2510, to the extent 
possible, have been aligned for U.S. implementation with these other 
U.S. regulatory and statistical reports to minimize reporting burden on 
U.S. respondents and to maximize analytical consistency with existing 
U.S. reports. These other reports include the FFIEC 009, the FR Y-9C, 
the Banking Organization Systemic Risk Report (FR Y-15), the Complex 
Institution Liquidity Monitoring Report (FR 2052a), and the Semiannual 
Report of Derivatives Activity (FR 2436).
    The FR 2510 would be comprised of three schedules that would give a 
full view of the reporting banking organization's operations and risks. 
An overview of the proposed information that would be collected in 
these three schedules is provided below.

(1) The I-A Immediate Counterparty Schedule

    The I-A Immediate Counterparty schedule (I-A IC) would be the 
report's main schedule. This draft schedule would capture information 
on banking organizations' asset positions, liability positions, and 
contingent liabilities on a combination of the following five 
dimensions:
    (1) Instrument,
    (2) Currency,
    (3) Remaining maturity,
    (4) Counterparty country, and
    (5) Counterparty sector.
    The I-A IC positions are allocated to the country and sector where 
the immediate counterparty resides. Immediate-counterparty positions 
would be reported in Tables 1 and 2. Table 1 is a consolidated balance 
sheet of the granular portfolio with total positions broken out by the 
following seven different currencies:
    (1) U.S. Dollar,
    (2) Euro,
    (3) Japanese Yen,
    (4) British Pound,
    (5) Swiss Franc,
    (6) Yuan Renminbi, and
    (7) Other currencies.
    The currencies would be broken out into four remaining maturity 
categories, as follows:
    (1) Non-maturity instruments,
    (2) Overnight to less than three months,
    (3) 3 months to less than 1 year, and
    (4) 1 year and over.
    Table 2 would be a consolidated balance sheet showing I-A exposures 
by instrument and counterparty sector to countries above the de minimis 
threshold of $2 billion, with banking organizations completing a table 
for each country above the threshold, with total positions by 
counterparty sector and by remaining maturity. At the time the global 
I-A template was developed, it was estimated that these de mimimis 
rules would nonetheless cover 97 percent of total claims extended to 
counterparties in 79 countries (based on BIS CBS). Maximum coverage 
would be provided for advanced economies (99 percent), while lower 
percentages would result for Africa and Middle East (65 percent) and 
Emerging Europe (85 percent).
    Positions would be reported along the following counterparty 
sectors:
    (1) Banks,
    (2) Non-bank financial institutions,
    (3) Non-financial corporations,
    (4) Households,
    (5) Government, and
    (6) Unallocated by sector.
    Positions would be broken out into the following three remaining 
maturity categories:
    (1) Non-maturity instruments,
    (2) Less than 1 year, and
    (3) 1 year and over.

(2) Financial Derivatives Schedule

    The Financial Derivatives schedule would capture details on the 
gross fair-value (mark-to-market) and notional amounts of financial 
derivatives broken out according to certain subcategories of derivative 
instruments. Information regarding gross fair values (mark-to-market) 
and notional amounts would facilitate cross-country comparisons and 
overcome substantially different offset requirements for derivatives 
between the accounting standards applied by reporting banking 
organizations. Derivatives would be reported along the following three 
categories:
    (1) Exchange-traded derivatives,
    (2) Centrally cleared over-the-counter (OTC) derivatives, and
    (3) Bilateral/uncleared OTC derivatives. Derivatives are reported 
according to the following six categories of risk:
    (1) Equity derivatives,
    (2) Interest rate derivatives,
    (3) Foreign exchange derivatives,
    (4) Credit derivatives,
    (5) Commodity derivatives, and
    (6) Other derivatives.

(3) Foreign Exchange Derivatives Schedule

    The Foreign Exchange Derivatives schedule would capture gross 
notional currency derivative positions (separated into short and long 
positions) for a limited number of foreign exchange derivatives, with 
details on remaining maturity and currency, but no detail concerning 
counterparty country and sector. The scope of foreign exchange 
derivatives would include the following:
    (1) Currency forwards,
    (2) Foreign exchange swaps,
    (3) Currency swaps, and
    (4) Cross-currency interest rate swaps.
    For each derivative type, the contract's remaining maturity would 
be broken out into the following maturity buckets:
    (1) Non-maturity instruments (on-demand and open positions),
    (2) Overnight to less than 3 months,
    (3) 3 months to less than 1 year, and
    (4) 1 year and over.
    Legal authorization and confidentiality: The information collection 
is authorized under section 5 of the Bank Holding Company Act (12 
U.S.C. 1844). The information collected in the FR 2510 would be 
collected as part of the Board's supervisory process, and therefore may 
be afforded confidential treatment pursuant to exemption 8 of the 
Freedom of Information Act (FOIA) (5 U.S.C. 552(b)(8)). In addition, 
individual respondents may request that certain data be afforded 
confidential treatment pursuant to exemption 4 of FOIA if the data has 
not previously been publically

[[Page 43683]]

disclosed and the release of the data would likely cause substantial 
harm to the competitive position of the respondent (5 U.S.C. 
552(b)(4)). Determinations of confidentiality based on exemption 4 of 
FOIA would be made on a case-by-case basis.
    Consultation Outside the Agency: The Federal Reserve consulted with 
the Office of the Comptroller of the Currency as well as with potential 
respondent institutions in developing this proposed report. Several 
outreach meetings took place to help refine the data items in the 
proposed schedules and clarify the accompanying instructions.

    Board of Governors of the Federal Reserve System, August 21, 
2018.
Ann Misback,
Secretary of the Board.
[FR Doc. 2018-18430 Filed 8-24-18; 8:45 am]
 BILLING CODE 6210-01-P