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TCH Supports Broad Criteria for NBFCs

The Clearing House Association filed a letter with the FSOC in response to its notice of proposed rulemaking requesting comments on the criteria to be used to designate systemically important nonbank financial institutions for enhanced regulation. The letter argues that designations should be broadly-based, prompt and based primarily on a firm's size, interconnectedness, dependency and reasonable prospects of ever being subjected to the orderly-liquidation authority's special resolution provisions.