Bank Regulatory Agencies Issue Guidance on Sound Incentive Compensation Policies

by Sabrina I. Pacifici on June 28, 2010

“The Office of the Comptroller of the Currency, Treasury (OCC); Board of Governors of the Federal Reserve System, (Board or Federal Reserve); Federal Deposit Insurance Corporation (FDIC); Office of Thrift Supervision, Treasury (OTS), (collectively, the Agencies) are
adopting final guidance designed to help ensure that incentive compensation policies at banking organizations do not encourage imprudent risk-taking and are consistent with the safety and soundness of the organization.”

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