You're Invited: A Conversation on Capital With Chairman Patrick McHenry

A special Capitol Account event on October 25 in Washington

Wednesday, October 25, 2023, 8:30 a.m. - 10:00 a.m.

Sponsored by the Bank Policy Institute

1300 I St., NW Washington, D.C. 20005

Click here to RSVP. In person attendance only.

Let’s face it, bank capital is complicated. So it may be surprising that it has unleashed a torrent of debate in Washington and on Wall Street over the past few months. Even before the banking agencies unveiled their revamp of capital rules in July, the plan had grabbed the attention of executives, and shot to the top of their Washington priorities.

Capital goes to the bottom line. And the proposed rewrite is extensive -- it touches on trading activities, risk management, mortgage lending and could even affect how banks do business with hedge funds and private equity firms. The rule has also struck a nerve on Capitol Hill. That’s because it would largely undo the softening of rules for mid-sized banks that Congress passed just five years ago. That law had strong Republican support, and was backed by some Democrats as well.

Even if it is adopted with revisions, the capital proposal seems destined to face a legal challenge. Already, six trade groups have called on the agencies to repropose the rule. They’ve also contended that regulators failed to fulfill basic tenets of the federal law that governs rulemaking. Banks have always been loath to sue their supervisors. But considering the sweeping impact that the new standards will have, few take this as an idle threat.

On Wednesday, October 25, Capitol Account will host an in-person gathering on the battle over Basel, featuring a keynote address from House Financial Services Chairman Patrick McHenry. Following a brief question-and-answer session, Gibson, Dunn & Crutcher’s Eugene Scalia will join other experts on a panel to discuss the legal and regulatory challenges facing the capital rule, as well as its significant effects on the financial industry and the economy writ large.

Click here to RSVP now.

Agenda

Welcome: Jesse Westbrook, Capitol Account.

Keynote Address: Rep. Patrick McHenry (R-N.C.), chairman, House Financial Services Committee and House speaker pro tempore.

Q&A with Chairman McHenry: Robert Schmidt, Capitol Account, interviewer.

Panel Discussion: Jessica Holzer, Capitol Account, moderator. Eugene Scalia, partner, Gibson, Dunn & Crutcher. Other panelists TBD.