Enterprise Regulatory Capital Framework

Date

12/17/2020

Number

RIN-2590-AA95

Group

Fannie Mae

Freddie Mac

CFR

12 CFR Parts 1206, 1225, 1240, and 1750

CFR Description

ASSESSMENTS; ENTERPRISE CAPITAL REQUIREMENTS

Effective Date

Tue, 02/16/2021 - 12:00

Enterprise Capital Requirements

FOR FURTHER INFORMATION CONTACT: Naa Awaa Tagoe, Senior Associate Director, Office of Financial Analysis, Modeling & Simulations, (202) 649-3140, NaaAwaa.Tagoe@fhfa.gov; Andrew Varrieur, Associate Director, Office of Financial Analysis, Modeling & Simulations, (202) 649-3141, Andrew.Varrieur@fhfa.gov; or Miriam Smolen, Associate General Counsel, Office of General Counsel, (202) 649-3182, Miriam.Smolen@fhfa.gov. These are not toll-free numbers. The mailing address is: Federal Housing Finance Agency, 400 Seventh Street, SW, Washington, D.C. 20219. If you are deaf, hard of hearing, or have a speech disability, please dial 7-1-1 to access telecommunications relay services. Additionally, the TDD 1-(800) number referenced in Rulemaking documents attached to this page is obsolete and the 7-1-1 number should be used.

SUMMARY: The Federal Housing Finance Agency (FHFA or the Agency) is proposing a new regulatory capital framework for the Federal National Mortgage Association (Fannie Mae) and the Federal Home Loan Mortgage Corporation (Freddie Mac) (collectively, the Enterprises), which includes a new framework for risk-based capital requirements and two alternatives for an updated minimum leverage capital requirement. The risk-based framework would provide a granular assessment of credit risk specific to different mortgage loan categories, as well as market risk, operational risk, and going-concern buffer components. The proposed rule would maintain the statutory definitions of core capital and total capital.

FHFA has suspended the Enterprises' capital requirements since the beginning of conservatorship, and FHFA plans to continue this suspension while the Enterprises remain in conservatorship. Despite this suspension, FHFA believes it is appropriate to update the Agency's standards on Enterprise capital requirements to provide transparency to all stakeholders about FHFA's supervisory view on this topic. In addition, while the Enterprises are in conservatorship, FHFA will expect Fannie Mae and Freddie Mac to use assumptions about capital described in the rule's risk-based capital requirements in making pricing and other business decisions. Feedback on this proposed rule will also inform FHFA's views in evaluating Enterprise business decisions while the Enterprises remain in conservatorship.

DATES: Comments must be received on or before November 16, 2018.

Public Comments

Below are a compilation of public comments made on this publication.

81 items

CSV

Date Sort ascending	First Name	Last Name	Organization	Comment
07/26/18			Meeting with Moelis & Company LLC	See attached meeting summary Email: N/A Attachment: View Attachment
07/26/18	Carlos	Vignote	N/A	I have the impression that the Credit Risk is duplicated for the Retai… Email: N/A Attachment: N/A
07/18/18	Carlos	Vignote	N/A	Is the FHFA a Moelis Shop? This proposed rule is another example. It w… Email: N/A Attachment: N/A
07/17/18	Fannie	Freddie	Owner	Thank you Very much for getting around to putting capital standards ou… Email: N/A Attachment: N/A
07/11/18			Meeting with USMI, Essent, Genworth, MGIC, NMI, Radian	See attached meeting summary Email: N/A Attachment: View Attachment
07/09/18	Andrew	Davidson	Andrew Davidson & Co., Inc.	See attached pdf Email: nancy@ad-co.com Attachment: View Attachment
07/08/18	John	John	N/A	As rightly recognized by FHFA, FnF are specialized insurance companie… Email: N/A Attachment: N/A
07/08/18	Green	West	N/A	The capital standards must be adequate, reasonable and as close as pos… Email: N/A Attachment: N/A
07/07/18	Gordon	Lane	N/A	My comment as a real estate and stock investor is that I strongly supp… Email: N/A Attachment: N/A
07/06/18	Gordon	Lane	N/A	I would like to point out FHFA and Director Watt, as well as many cong… Email: N/A Attachment: N/A
07/06/18	JIN	CHOI	N/A	To workers in FHFA: Haven't you take an oath when you got your jobs?… Email: N/A Attachment: N/A
07/05/18	Nick	Calvi	N/A	On page 30 it states the third amendment and net worth sweep enacted i… Email: N/A Attachment: N/A
07/03/18	Carlos	Vignote	N/A	The Risk-Based Capital is flawed. The 2 Capital requirements are appli… Email: N/A Attachment: N/A
06/30/18	Guido	Da Costa Pereira	Self	Congress did not put Fannie Mae and Freddie Mac in conservatorship. Co… Email: gdacostap@yahoo.com Attachment: N/A
06/30/18	Guido	Da Costa Pereira	Self	Congress did not put Fannie Mae and Freddie Mac in conservatorship. Co… Email: gdacostap@yahoo.com Attachment: N/A
06/30/18	Shareholder's 30 Second	Post Card Plan	N/A	Dear President Trump, Below is a fair and just Rule of Law "Shareholde… Email: N/A Attachment: N/A
06/30/18	Anonymous	Joe	N/A	"Enterprise Capital Requirements" is oxymoron. What is the point in ha… Email: N/A Attachment: N/A
06/29/18	Blind Sheep	Investor	N/A	I just want to thank all the minions at FHFA as well as those over at… Email: N/A Attachment: N/A
06/28/18	Ken	Rogers	N/A	The current Conservatorship and New Worth Sweep should be stopped imme… Email: N/A Attachment: N/A
06/28/18	Ronald	Tankersley	N/A	Based on historic operations and forensic accounting it has been pro… Email: tankrs@cox.net Attachment: N/A
06/27/18	Patrick	Felling	N/A	The United States government should not nationalize private businesses… Email: N/A Attachment: N/A
06/21/18			Meeting with Andrew Davidson & Co., Inc.	See attached meeting summary. Email: N/A Attachment: View Attachment
06/20/18	Carlos	Vignote	N/A	Regarding the Question 37. The FHFA can't make up financial concepts.… Email: N/A Attachment: N/A
06/19/18	FHFA	FHFA	FHFA	See attached Stakeholder Webinar Record - June 19, 2018. This includes… Email: N/A Attachment: View Attachment
06/18/18			Joint Trade Associations and Organizations	See attached Request For Extension letter from the American Bankers As… Email: N/A Attachment: View Attachment