This monthly report comprises three loan- and portfolio- level collections and one detailed address-matching collection to supplement two of the loan- and portfolio- level collections. The bank holding companies (BHCs) are required to complete the following FR Y-14M schedules: Domestic First Lien Closed-End 1-4 Family Residential Mortgage, Domestic Home Equity Loan and Home Equity Line, Domestic Credit Card, and Address Matching. The number of schedules each BHC completes is subject to materiality thresholds.
Purpose: The data are used to assess the capital adequacy of large BHCs using forward-looking projections of revenue and losses, to support supervisory stress test models and continuous monitoring efforts, and to inform the Federal Reserve's operational decision making as it continues to implement the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010. The monthly data collection improves the Federal Reserve's ability to perform its continuous risk-monitoring function by providing more-timely data.
In June 2009, the Board conducted the Supervisory Capital Assessment Program (SCAP), a "stress test" that focused on identifying whether large BHCs had capital sufficient to weather a more-adverse-than-anticipated economic environment while maintaining their capacity to lend. In early 2011, the Federal Reserve continued its supervisory evaluation of the resiliency and capital adequacy processes of 19 BHCs through the Comprehensive Capital Analysis and Review (CCAR) 2011. The CCAR 2011 involved the Federal Reserve's forward-looking evaluation of the internal capital planning processes of the BHCs and their anticipated capital actions in 2011, such as increasing dividend payments or repurchasing or redeeming stock; evaluating whether these BHCs had satisfactory processes for identifying capital needs; and evaluating whether these BHCs held adequate capital to maintain ready access to funding, continue operations and meet their obligations to creditors and counterparties, and continue to serve as credit intermediaries, even under stressful conditions. The Federal Reserve implemented the FR Y-14A/Q during the fall of 2011, and it implemented the FR Y-14M in June 2012. The Federal Reserve revised the FR Y-14M by adding data items to all three loan- and portfolio-level collections, and the address matching collection, (1) clarifying several data items currently collected, and (2) deleting data items that are no longer needed, effective March 2013 and June 2013.
The respondent panel comprises of any top-tier BHC (other than a foreign banking organization), that has $50 billion or more in total consolidated assets, as determined based on: (i) the average of the BHC's total consolidated assets in the four most recent quarters as reported quarterly on the BHC's Consolidated Financial Statements for Bank Holding Companies (FR Y-9C) (OMB No. 7100-0128); or (ii) the average of the BHC's total consolidated assets in the most recent consecutive quarters as reported quarterly on the BHC's FR Y-9Cs, if the BHC has not filed an FR Y-9C for each of the most recent four quarters." Participation is mandatory.
For these retail portfolio collections, the Federal Reserve collects month-end data on the last business day of each calendar month.
The Federal Reserve has published press releases in addition to a paper describing the methodology used in the stress test in the CCAR 2012 and summary results of the latest round of bank stress tests.