Proposed Rule on Disclosure of Incentive-Based Compensation

On March 29, the SEC, Fed, FDIC, FHFA, NCUA, OCC, and OTS requested comment on a joint proposed rulemaking to implement Section 956 of the Dodd-Frank Act. The proposed rule prohibits incentive-based compensation arrangements that encourage inappropriate risk-taking by covered financial institutions and are deemed to be excessive or that may lead to material losses. Comments must be submitted within 45 days after publication in the Federal Register, which is expected soon. Joint Release. Proposed Rule.