Request for Comment on Model Changes for the Board's 2027 Supervisory Stress Test

Issuing agencies

Abstract

The Board of Governors of the Federal Reserve System (Board) invites public input on proposed model changes for the Board's 2027 supervisory stress test, and invites comment on proposed changes to the FR Y-14A/Q/M reports that would facilitate future model development and improve the risk capture of the stress test.

Full Text

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<title>Federal Register, Volume 91 Issue 190 (Friday, October 2, 2026)</title>
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[Federal Register Volume 91, Number 190 (Friday, October 2, 2026)]
[Notices]
[Pages 62729-62733]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2026-20245]


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FEDERAL RESERVE SYSTEM

[Docket No. OP-1882]


Request for Comment on Model Changes for the Board's 2027 
Supervisory Stress Test

AGENCY: Board of Governors of the Federal Reserve System.

ACTION: Notice, request for comment.

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SUMMARY: The Board of Governors of the Federal Reserve System (Board) 
invites public input on proposed model changes for the Board's 2027 
supervisory stress test, and invites comment on proposed changes to the 
FR Y-14A/Q/M reports that would facilitate future model development and 
improve the risk capture of the stress test.

DATES: Comments must be received on or before December 1, 2026.

ADDRESSES: You may submit comments, identified by Docket No. OP-1882, 
by any of the following methods:
    <bullet> Agency Website: <a href="https://www.federalreserve.gov/apps/proposals/">https://www.federalreserve.gov/apps/proposals/</a>. Follow the instructions for submitting comments, including 
attachments. Preferred Method.
    <bullet> Mail: Benjamin W. McDonough, Secretary, Board of Governors 
of the Federal Reserve System, 20th Street and Constitution Avenue NW, 
Washington, DC 20551.
    <bullet> Hand Delivery/Courier: Same as mailing address.
    <bullet> Other Means: <a href="/cdn-cgi/l/email-protection#e09095828c8983838f8d8d858e9493a0869282ce878f96"><span class="__cf_email__" data-cfemail="bacacfd8d6d3d9d9d5d7d7dfd4cec9fadcc8d894ddd5cc">[email&#160;protected]</span></a>. You must include the 
docket number in the subject line of the message.
    Comments received are subject to public disclosure. In general, 
comments received will be made available on the Board's website at 
<a href="https://www.federalreserve.gov/apps/proposals/">https://www.federalreserve.gov/apps/proposals/</a> without change and will 
not be modified to remove personal or business information including 
confidential, contact, or other identifying information. Comments 
should not include any information such as confidential information 
that would not be appropriate for public disclosure. Public comments 
may also be viewed electronically or in person in Room M-4365A, 2001 C 
St. NW, Washington, DC 20551, between 9 a.m. and 5 p.m. during Federal 
business weekdays.

FOR FURTHER INFORMATION CONTACT: Doriana Ruffino, Associate Director 
(202) 452-5235, Hillel Kipnis, Assistant Director, (202) 452-2924, John 
Simone, Manager, (202) 245-4256, Alice Moore, Senior Financial 
Institution Policy Analyst II, (202) 360-0155, and Theo Pistner, 
Financial Institution and Policy Analyst III, (202) 941-1825, Division 
of Supervision and Regulation; Asad Kudiya, Associate General Counsel, 
(202) 360-6887, Julie Anthony, Senior Special Counsel, (202) 658-9400, 
Jonah Kind, Senior Counsel, (202) 452-2045, Brian Kesten, Senior 
Counsel (202) 843-4079, Tara Hofbauer, Senior Attorney (202) 680-2503, 
Rye Salerno, Attorney (240) 374-7788, Legal Division. Board of 
Governors of the Federal Reserve System, 20th Street and Constitution 
Avenue NW, Washington, DC 20551. For users of TDD-TYY, please call 711 
from any telephone, anywhere in the United States.

SUPPLEMENTARY INFORMATION:

Table of Contents

I. Introduction
II. Proposed Model Change
III. Revisions to the FR Y-14A/Q/M
IV. Administrative Law Matters
    A. Paperwork Reduction Act Analysis

I. Introduction

    Stress testing is a core element of the Board's regulatory 
framework and supervisory program for large firms. The stress test 
enables the Board to assess whether large bank holding companies, 
savings and loan holding companies, U.S. intermediate holding companies 
of foreign banking organizations, and nonbank financial companies 
supervised by the Board (collectively, firms) have sufficient capital 
to absorb potential losses under hypothetical stress scenarios and 
continue lending under severely adverse conditions, although it is not 
designed or intended to be predictive of future economic conditions. 
The stress tests evaluate the financial resilience of large banks by 
estimating bank losses, revenues, expenses, and resulting capital 
levels--which provide a cushion against losses--under hypothetical 
recession scenarios.\1\ The Board uses the results of a stress test, in 
part, to set large bank capital requirements. This proposal seeks 
public input on revisions to the models used to conduct the analysis 
for the 2027 stress test and targeted revisions to reporting forms to 
facilitate future model development and improve the risk capture of the 
stress test.
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    \1\ U.S. bank holding companies (BHCs), covered savings and loan 
holding companies (SLHCs), and intermediate holding companies of 
foreign banking organizations (IHCs) with $100 billion or more in 
assets are subject to the Board's supervisory stress test rule (12 
CFR part 238, subpart O; 12 CFR part 252, subpart E) and capital 
planning requirements (12 CFR 225.8; 12 CFR 238.170). In addition, 
certain BHCs, SLHCs, IHCs, and state member banks must comply with 
the Board's company-run stress test rules (12 CFR part 238, subpart 
P; and 12 CFR part 252, subparts B and F).
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II. Proposed Model Change

    To enhance the transparency and public accountability of the annual 
stress tests, the Board is issuing a separate final rule under which it 
would establish a process by which the Board would publish for public 
input any material model changes before implementing them in the annual 
supervisory stress test.\2\ While this

[[Page 62730]]

aspect of the final rule is not yet effective, consistent with the 
purposes and features of this enhanced disclosure process, the Board is 
inviting comment on proposed adjustments to the models for the 2027 
stress test. The proposed changes were informed by comments received on 
the models proposed for the 2026 stress test and would better capture 
heterogeneity across firms in the noninterest income model.\3\
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    \2\ A material model change is a model change that could have, 
in the Board's estimation, an impact on the post-stress common 
equity tier 1 regulatory capital ratio of any firm, or on the 
average post-stress common equity tier 1 capital ratios of all firms 
with total consolidated assets of $100 billion or more subject to 
the stress test, equal to (i) a change of 20 basis points or more in 
the projected common equity tier 1 ratio of any such firm; or (ii) a 
change of 10 basis points or more in the average of the absolute 
value of each firm's change in projected common equity tier 1 ratio. 
The analysis is based on the prior year's severely adverse scenario 
and prior year's input data. A model change is the introduction of a 
new model or a conceptual change to an existing model.
    \3\ See 90 FR 51856 (Nov. 18, 2025), available at <a href="https://www.federalregister.gov/d/2025-20211">https://www.federalregister.gov/d/2025-20211</a>.
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    A detailed description of the proposed model, as well as analysis 
of these proposed changes, are available on the Board's website: 
<a href="https://www.federalreserve.gov/supervisionreg/dfa-stress-tests-2027.htm">https://www.federalreserve.gov/supervisionreg/dfa-stress-tests-2027.htm</a>.

III. Revisions to the FR Y-14A/Q/M

    To facilitate potential future model development or to improve risk 
capture of the stress test, the Board is proposing several revisions to 
the FR Y-14A/Q/M. For example, to assess whether a future model change 
is appropriate, the Board is proposing to reimplement FR Y-14Q, 
Schedule I (Mortgage Servicing Rights Valuation), with limited 
adjustments, to capture data on serviced mortgages. This information 
could enable the Board to develop a model for mortgage servicing rights 
that better captures the risks associated with a firm's servicing 
portfolio. Similarly, the Board is proposing to add a limited number of 
items to FR Y-14Q, Schedule G (PPNR) and Schedule H (Wholesale) that 
could be informative in determining whether future model changes are 
appropriate, such as additional collateral and guarantor information on 
corporate loans. Many of these revisions were suggested by commenters 
in response to the models proposed by the Board in October 2025.\4\ 
Finally, the Board is proposing several revisions to FR Y-14Q, Schedule 
A (Retail), Schedule B (Securities), Schedule F (Trading), Schedule L 
(Counterparty), and Schedule M (Balances), as well as FR Y-14M, 
Schedule A (First Lien) and Schedule B (Home Equity) to improve the 
instructions and consistency of reporting. These proposed revisions do 
not indicate that the Board will propose a related model change. The 
proposed revisions are described in Section IV.A of this Supplementary 
Information.
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    \4\ See Board, Review of Comments and Summary of Changes to the 
Proposed 2026 Stress Test Models, available at <a href="https://www.federalreserve.gov/supervisionreg/dfa-stress-tests-2027.htm">https://www.federalreserve.gov/supervisionreg/dfa-stress-tests-2027.htm</a>.
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IV. Administrative Law Matters

A. Paperwork Reduction Act Analysis

    In accordance with the requirements of the Paperwork Reduction Act 
(PRA) of 1995 (44 U.S.C. 3501-3521), the Board may not conduct or 
sponsor, and the respondent is not required to respond to, an 
information collection unless it displays a currently valid Office of 
Management and Budget (OMB) control number.
    The Board is proposing to revise the FR Y-14A/Q/M to collect 
additional information to support the supervisory stress test models 
and improve the reporting instructions.
    The Board invites public comment on the following information 
collection:
    (a) Whether the 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 the information collection on 
respondents, including through the use of automated collection 
techniques or other forms of information technology; and
    (e) Estimates of capital or start-up costs and costs of operation, 
maintenance, and purchase of services to provide information.
Proposal Under OMB Delegated Authority to Extend for Three Years, With 
Revision, the Following Information Collection
    Collection title: Capital Assessments and Stress Testing Reports.
    Collection identifier: FR Y-14A/Q/M.
    OMB control number: 7100-0341.
    General description of collection:
    The FR Y-14 reports collect stress test and capital plan data from 
the largest holding companies, which are those with $100 billion or 
more in total consolidated assets. The data collected through the FR Y-
14 reports provide the Board with the information needed to help ensure 
that large holding companies have strong, firm[hyphen]wide risk 
measurement and management processes supporting their internal 
assessments of capital adequacy and that their capital resources are 
sufficient given their business focus, activities, and resulting risk 
exposures. Information gathered in this data collection is also used in 
the supervision and regulation of these financial institutions.
    Current Actions: The proposal would modify the FR Y-14A/Q/M to 
collect additional information to potentially inform supervisory model 
developments and improve reporting instructions. All proposed revisions 
would be effective for the December 31, 2027, report date.
1. Mortgage Servicing Rights
    Prior to 2019, FR Y-14Q, Schedule I (MSR Valuation) collected 
valuation data on mortgage servicing rights (MSR). The schedule was 
retired, as the data was immaterial for most firms that submitted the 
FR Y-14Q. However, this data could allow the Board to develop a model 
for MSRs that better captures the risks of loans in a firm's servicing 
portfolio, as discussed in questions in the proposed noninterest income 
model documentation associated with this notice. Therefore, to help 
assess whether such a model would be appropriate, the Board is 
proposing to reimplement Schedule I with a small number of changes, 
primarily to delete fields that are not necessary and update others to 
reflect current industry practices. This schedule would collect data on 
a firm's MSR portfolio such as the volume of loans serviced, 
capitalization rates, prepayment information, and other characteristics 
of the portfolio.
    Question #1: The Board seeks comment on the proposed fields and 
definitions in FR Y-14Q, Schedule I. Are there any alternative fields, 
or definitions of fields, that would better capture the risks 
associated with a firm's servicing portfolio, such as different 
industry credit scores, delinquency buckets, or product types?
2. Wholesale
a. Revisions Suggested by Commenters
    In response to the Wholesale models proposed in October 2025, 
commenters provided several modeling suggestions that would require the 
collection of additional data. For example, commenters suggested that 
corporate loans that qualify for securitization be treated as 
available-for-sale/held-to-maturity securities, that facility-level 
rating information be accounted for in corporate credit losses, and 
that the corporate model account for loan guarantees, including partial 
guarantees. Similarly, commenters suggested that the Board identify 
commercial real estate (CRE) loans collateralized by affordable housing 
and collect

[[Page 62731]]

information on construction and development projects that are in a 
transitional phase. Commenters also suggested allowing alternative 
measurements for the reporting of CRE current occupancy. Per the 
commenters, these revisions would better enable the Board to capture 
heterogeneity across firms, thereby improving the risk capture of the 
models, or would clarify the instructions.
    As discussed in the Board's review of comments, it is not adopting 
modeling changes related to these suggestions at this time.\5\ However, 
to further assess the commenters' suggestions, the Board is proposing 
to revise existing items or add new ones to FR Y-14Q, Schedule H.1 
(Corporate) and Schedule H.2 (CRE) to collect this information. 
Specifically, to capture data on loan guarantees, securitizations, and 
internal risk ratings for corporate exposures, the Board is proposing 
to add item 124 (``Guarantee Amount''), item 125 (``Securitization 
Flag''), and item 126 (``Facility Internal Risk Rating'') to Schedule 
H.1. The Board is also proposing to add item 78 (``Affordable Housing 
Flag'') and item 79 (``Current Development Status'') to Schedule H.2 to 
gather data on affordable housing and the development status associated 
with CRE exposures. Further, to clarify the reporting of affordable 
housing, the Board is also proposing to revise Schedule H.2, item 9 
(``Property Type''). Finally, to enable the use of alternative 
measurements for Schedule H.2, item 23 (``Current Occupancy'') the 
Board proposes to revise Schedule H.2, item 39 (``Property Size'') to 
further clarify property types and measurement units.
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    \5\ The documentation is available on the Board's website. See 
<a href="https://www.federalreserve.gov/supervisionreg/dfa-stress-tests-2027.htm">https://www.federalreserve.gov/supervisionreg/dfa-stress-tests-2027.htm</a>.
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    To further assess the commenters' suggestions and align with the 
Board's capital rule, the Board is proposing to revise the definition 
of an eligible guarantor in Schedule H.1 to be consistent with the 
corresponding definition in 12 CFR 217.2. For consistency with Schedule 
H.1, the Board is similarly proposing to revise Schedule H.2, item 21 
(``Recourse'') and add item 77 (``Recourse Amount'') to capture the 
amount of a loan covered by recourse and align the definition of 
guarantor with the corresponding definition in 12 CFR 217.2.
Obligor Internal Risk Ratings
    Firms are currently required to report obligor internal risk 
ratings in Schedule H.1, item 10 (``Obligor Internal Risk Rating''). 
The Board is not proposing any revisions to this item. However, as 
described above, the Board is proposing to collect facility internal 
risk ratings for corporate exposures. The Board is seeking feedback on 
the proposed revisions to capture facility internal risk rating 
information, as well as potentially collecting related, supplemental 
data items, and has provided specific questions below.
    Question #2: The Board seeks comment on whether the proposed 
facility internal risk rating field on Schedule H.1 should explicitly 
capture loss severity in the event of default rating or instead capture 
a blended expected loss rating that considers both the probability of 
default and loss severity. What would be the advantages and 
disadvantages of each approach?
    Question #3: The Board seeks comment on adding an item to Schedule 
H.1 that would map the proposed Facility Internal Risk Rating field to 
an external equivalent. As an alternative, the Board also seeks comment 
on collecting each firm's universe of internal facility risk ratings in 
a manner similar to Schedule H.4 (Internal Risk Rating Schedule). What 
would be the advantages and disadvantages of each approach?
b. Covenants
    On May 20, 2026, the Board published in the Federal Register a 
notice announcing the finalization of revisions to the FR Y-14 reports, 
including the addition of item 119 (``Covenant Violation'') on Schedule 
H.1 to capture information on loan covenants.\6\ The adopted item 
provides several options for reporting whether a covenant exists, 
whether a covenant has been violated, and, if so, whether the agreement 
has been amended or waived. However, these options do not capture a 
scenario in which a covenant violation occurs and is cured, without 
amendment or waiver, within a reporting quarter. To capture this 
scenario, the Board is proposing to add a new option for a covenant 
violation that is cured. This revision would enable the Board to better 
assess the structure and risks of reported covenants.
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    \6\ See 91 FR 29485 (May 20, 2026).
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3. Retail
a. Margin Loans
    In December 2025, the Board adopted changes to the FR Y-9C that 
require margin loans, whether purpose or non-purpose, primarily 
collateralized by securities with readily determinable fair value to be 
reported on Schedule HC-C, item 9.b.(1).\7\ Prior to this reporting 
change, retail non-purpose loans were reported in Schedule HC-C, items 
6.b or 6.d, which are also reported on FR Y-14Q, Schedule M.1 (Quarter-
end Balances), item 4.c (``Non purpose lending''). As a result of this 
reporting change, Schedule M.1, item 4.c collects a smaller number of 
balances, as loans reported on Schedule HC-C, item 9.b.(1) are reported 
on Schedule M.1, item 5.c (``Securities lending''). To simplify the 
reporting and modeling of these exposures, the Board is proposing to 
retire item 4.c, which would result in all loans currently reported in 
item 4.c to be reported in item 4.e (``Other consumer loans''), which 
is more appropriate given the composition of these loans. For 
consistency, the Board is also proposing to revise the reportable 
categories of FR Y-14Q, Schedule A.6 (International Other Consumer) and 
Schedule A.7 (U.S. Other Consumer) to capture these exposures.
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    \7\ See 90 FR 56756 (December 8, 2025).
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b. Property Valuation Methods
    Currently, FR Y-14M, Schedule A.1 (First Lien Loan Level Table) and 
Schedule B.1 (Home Equity Loan Level Table) collects data on first lien 
and home equity portfolios, including property valuation methods. 
However, the options provided to report property valuation methods are 
not always consistent between the corresponding Schedule A.1 and 
Schedule B.1 items, which could lead to a valuation method not being 
captured consistently across schedules. Specifically, Schedule B.1, 
item 88 (``Property Valuation Method at Origination (appraisal 
method)'') includes `TAV--tax assessed value,' `purchase price,' and 
`other' which are not options on the corresponding item on Schedule A.1 
(item 111). To ensure that all valuation methods are captured on 
Schedule A.1, the Board is proposing to add `TAV--tax assessed value,' 
`purchase price,' and `other' as reportable values to item 111.
    Further, Schedule A.1, item 69 and Schedule B.1, item 80 both 
collect data on the refreshed property valuation method and provide 
known valuation methods as reportable options. However, both item 69 
and item 80 lack an `other' option for instances when the valuation 
method does not fall under one of the options provided. For 
comprehensiveness, the Board is proposing to add `other' as a 
reportable value to item 69 and item 80, as well as definitions for 
these three reporting options to the applicable fields in Schedule A.1 
and B.1.
c. Workout Type
    In the FR Y-14 revisions finalized on May 20, 2026, the Board 
adopted

[[Page 62732]]

revisions to FR Y-14M, Schedule A.1, item 143 (``Workout Type 
Started'') and Schedule B.1, item 120 (``Workout Type Started'') to 
clarify that these fields should be left blank if the loan has never 
been in loss mitigation or in the months following completion of a 
workout plan. However, a loan may enter loss mitigation but not have an 
active workout plan, which would be reported as blank under the current 
instructions. To better capture loans that have entered loss 
mitigation, the Board is proposing to revise item 43 and item 120 to 
indicate `0' should be reported for a loan in loss mitigation but no 
workout plan has been established.
4. Pre-Provision Net Revenue
    In response to the pre-provision net revenue (PPNR) models proposed 
in October 2025, commenters provided several modeling suggestions that 
would require the collection of additional data.
    Specifically, to better enable the Board to capture heterogeneity 
in across firms, thereby improving the risk capture of the models, 
commenters suggested that the Board collect data on deposit beta 
segmentation by wholesale and retail deposits, transfer pricing, and 
mark-to-market and fair value adjustments in noninterest revenue. The 
Board has determined that these data are not necessary for the PPNR 
models finalized for the 2027 stress test; however, it is proposing to 
add items to FR Y-14Q, Schedule G (PPNR) and revise existing items to 
collect this information to potentially inform future model 
development. For consistency, the Board is proposing corresponding 
changes to FR Y-14A, Schedule A.7.a (PPNR Projections) and A.7.b (PPNR 
Net Interest Income), as applicable.
    In addition, one commenter suggested that the Board add an item to 
FR Y-14Q, Schedule B.1 (Securities 1--Main Schedule) to capture coupon 
rates for all securities, to support the projection of interest income 
on securities for which vendor data is unavailable. In response to the 
comment, the Board is proposing revisions to Schedule B.1 to collect 
coupon rate data for each security, as this information would enable 
the Board to better evaluate interest income associated with reported 
securities.
5. Market Risk
    The Board has identified several areas of FR Y-14Q, Schedule B 
(Securities), Schedule F (Trading), and Schedule L (Counterparty) where 
revisions would improve the instructions, increase consistency in 
reporting, or support the supervisory models.
a. Securities
    The Board considered comments suggesting that reporting 
requirements for equities on FR Y-14Q, Schedule B.1 could be reduced to 
exclude debt-security focused data items. Upon review, the Board 
determined that certain data fields collected on Schedule B.1 with 
respect to equities can be removed without impacting stress test 
projections. Accordingly, the Board is proposing to remove the 
requirement to report amortized cost, current face amount, original 
face amount, price and pricing date for equities on Schedule B.1.
b. Trading
    Currently, FR Y-14Q, Schedule F.18 (Corporate Credit--Advanced) and 
Schedule F.19 (Corporate Credit--Emerging Markets) indicate that credit 
baskets should be reported under the single name credit default swaps 
(SN CDS) category. However, as these exposures can contain multiple 
underlying assets, it is more appropriate that they be reported 
according to the associated risks to be more accurately modeled. 
Therefore, the Board is proposing to clarify the Schedule F.18 and 
Schedule F.19 instructions to indicate that credit baskets should be 
reported according to the risks related to the underlying assets.
c. Counterparty
    The Board is also proposing several changes to Schedule L to 
improve the instructions or facilitate supervisory modeling. Currently, 
FR Y-14Q, Schedule L.5 (Derivatives and Securities Financing 
Transactions Profile) allows for eligible credit derivatives such as 
single-name CDS hedges to be reported. As a result, single-name CDS 
hedges provided by counterparties within the firm (internal hedges) may 
be reported and thus included in the largest counterparty default 
(LCPD) calculation. As both parties are within the firm, internal 
hedges should not offset a firm's projected LCPD losses. Therefore, the 
Board is proposing to revise the Schedule L.5 instructions to exclude 
internal hedges.
    The Board also received several comments on the Schedule L 
instructions based on the models proposed in October 2025. One 
commenter requested that the Board clarify the reporting of client-
cleared derivatives (CCDs) and inter-affiliate transactions in the CVA 
schedules. Currently, Schedule L.5 requires CCD exposures to be 
reported when the firm guarantees client performance to the central 
clearing counterparty (CCP) or has offsetting transactions with the 
CCP. However, CCD exposures are only reported in Schedule L.1-L.4 if 
the firm either guarantees the performance of the CCP to the client or 
when it enters into an offsetting (or back-to-back) transaction with 
the CCP. For consistency, the Board is proposing to revise Schedule 
L.1-L.4 for CCDs such that they are reported if the firm guarantees 
client performance to the CCP or when it enters into an offsetting 
transaction with the CCP.
    Further, inter-affiliate transactions are reported inconsistently 
across sub-schedules due to ambiguity in the instructions, particularly 
in terms of how these transactions are reported on Schedules L.1-L.4. 
Therefore, the Board is proposing to clarify that all inter-affiliate 
transactions, including IHC inter-affiliate transactions, should be 
included in the counterparty population for Schedules L.1-L.4. IHC 
inter-affiliate transactions would continue to only be reported 
according to the current Schedule L.5 instructions given the 
materiality of these exposures, even though affiliate exposures are 
excluded from the LCPD Model. Non-IHC inter-affiliate transactions 
would continue to be excluded from Schedule L.5.
    Additionally, commenters provided feedback on ways they believe 
that Schedule L could be streamlined, including removing both sub-
schedules containing residual CVA exposure data and columns containing 
redundant metadata. After considering these comments, the Board has 
determined that Schedule L.1.f, which collects the bottom 5 percent of 
CVA, is no longer beneficial for supervisory monitoring. Similarly, the 
Board has determined that certain counterparty metadata fields (country 
and sector) on Schedule L.2 and L.3 are not necessary as they are also 
collected on Schedule L.1. Therefore, the Board is proposing to retire 
Schedule L.1.f and the applicable metadata items from Schedules L.2 and 
L.3.
d. Additional Revisions
    FR Y-14A, Schedule A.3.f (Expected Credit Loss and Provision for 
Credit Loss--HTM Securities) and Schedule A.3.g (Expected Credit Loss 
and Provision for Credit Loss--AFS Securities) collect data on 
projected allowances and provisions for credit losses for HTM and AFS 
securities, respectively, across various classes of securities. 
Commenters asserted that reporting and cross-referencing this 
information across schedules imposes a significant burden on firms. 
Given that the detailed disaggregation of credit loss projections by 
security type collected in

[[Page 62733]]

these schedules is of ancillary value and the low materiality of total 
securities portfolio credit loss provisions, the Board is proposing to 
retire Schedule A.3.f and Schedule A.3.g.
    Frequency: Annually, quarterly, and monthly.
    Respondents: Holding companies with $100 billion or more in total 
consolidated assets, as based on (1) the average of the firm's total 
consolidated assets in the four most recent quarters as reported 
quarterly on the firm's Consolidated Financial Statements for Holding 
Companies (FR Y-9C; OMB No. 7100-0128) or (2) the average of the firm's 
total consolidated assets in the most recent consecutive quarters as 
reported quarterly on the firm's FR Y-9Cs, if the firm has not filed an 
FR Y-9C for each of the most recent four quarters.
    Total estimated number of respondents: 35.
    Estimated change in burden:
    <bullet> FR Y-14A: -280 hours.
    <bullet> FR Y-14Q: +3,780 hours.
    <bullet> FR Y-14M: 0 hours.
    <bullet> Total estimated change in burden: +3,500.
    Total estimated annual burden hours: 763,928.

    By order of the Board of Governors of the Federal Reserve 
System.
Michele Taylor Fennell,
Associate Secretary of the Board.
[FR Doc. 2026-20245 Filed 10-1-26; 8:45 am]
BILLING CODE 6210-01-P


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