March 26, 2024

Ann E. Misback
Secretary
Board of Governors of the Federal Reserve System
20th Street and Constitution Avenue NW
Washington, DC 20551

Manuel E. Cabeza
Counsel,
Attention: Comments, Room MB–3128
Federal Deposit Insurance Corporation
550 17th Street NW
Washington, DC 20429

Chief Counsel’s Office
Attention: Comment Processing
Office of the Comptroller of the Currency
400 7th Street SW
Suite 3E-218
Washington, DC 20219

Re: Proposed Agency Information Collection Activities; Comment Request

Dear Sir/Madam,

The International Swaps and Derivatives Association, Inc. (“ISDA”) and the Securities Industry and Financial Markets Association (“SIFMA” and, together with ISDA, the “Associations”) welcome the opportunity to comment on the proposal referenced above (the “Reporting Proposal”)1 issued by the Board of Governors of the Federal Reserve System (the “Federal Reserve”), the Federal Deposit Insurance Corporation (the “FDIC”), the Office of the Comptroller of the Currency (the “OCC”), and, collectively with the FDIC and the Federal Reserve, the “Agencies”).

The Associations appreciate the opportunity to comment on the proposed FFIEC 101, 102, 102a and 031 reporting forms and instructions, which are designed to reflect the implementation of the Basel III Endgame proposal2 (the “B3E Proposal”). The Associations note, however, that the Reporting Proposal seeks to implement a proposed rule that is not yet finalized. As such, it is important that the reporting requirements reflect the final rules. Also, the Associations’ provided feedback on the Basel III Endgame proposal (the “B3E Comment Letter”)3. These comments should be reviewed and considered when finalizing the reporting requirements.

Additionally, as many of the proposed reporting requirements require significant effort to implement, it is essential that reporting forms and instructions, once final, are published with sufficient lead time for banking organizations to make the necessary changes to their systems and calculations.

Conclusion

The Associations appreciate the opportunity to submit our comments on the Proposal of the Consolidated Reports of Condition and Income (Call Report), the Regulatory Capital Reporting for Institutions Subject to the Advanced Capital Adequacy Framework, and the Market Risk Regulatory Report for Institutions Subject to the Market Risk Capital Rule. We are strongly committed to maintaining the safety and efficiency of U.S. financial markets and hope the Agencies consider our recommendations, which reflect the extensive knowledge and experience of market professionals within the Associations and our members. Please contact Lisa Galletta at [email protected] or (917) 624-3411 and Carter McDowell at [email protected] or (202) 962-7327 if you wish to discuss the points raised in this letter further.

Very truly yours,

Lisa Galletta
Head of U.S. Prudential Risk
International Swaps and Derivatives Association, Inc.

Carter McDowell
Managing Director and Associate General
Securities Industry Financial Markets Association

About the associations

Since 1985, ISDA has worked to make the global derivatives markets safer and more efficient. Today, ISDA has over 1,000 member institutions from 77 countries. These members comprise a broad range of derivatives market participants, including corporations, investment managers, government and supranational entities, insurance companies, energy and commodities firms, and international and regional banks. In addition to market participants, members also include key components of the derivatives market infrastructure, such as exchanges, intermediaries, clearing houses and repositories, as well as law firms, accounting firms and other service providers. Information about ISDA and its activities is available on the Association’s website: www.isda.org.

SIFMA is the leading trade association for broker-dealers, investment banks and asset managers operating in the U.S. and global capital markets. On behalf of our industry’s nearly 1 million employees, we advocate for legislation, regulation and business policy, affecting retail and institutional investors, equity and fixed income markets and related products and services. We serve as an industry coordinating body to promote fair and orderly markets, informed regulatory compliance, and efficient market operations and resiliency. We also provide a forum for industry policy and professional development. SIFMA, with offices in New York and Washington, D.C., is the U.S. regional member of the Global Financial Markets Association (“GFMA”).

Section A-D below present concerns the Associations have identified with respect to each of the regulatory reporting forms and instructions. Section E lists a set of items that the Associations believe further clarification is needed.

1 89 Fed. Reg. at 5297 (Jan. 26, 2024).

2 88 Fed. Reg. at 64,028 (Sept. 18, 2023).

3 ISDA and SIFMA Response to US Basel III NPR (Jan. 2024), available at https://www.isda.org/a/1ElgE/ISDA-and-SIFMA-Response-to-US-Basel-III-NPR.pdf.