Under the plan, large banks would have to hold additional capital if they purchase another bank's "loss-absorbing" debt that is used to contain fallout from a collapse.
The Federal Reserve should think about dialing back its demand that foreign banks in the U.S. have an especially amplified ability to absorb losses, Vice Chairman Randal Quarles said at a Wednesday conference.
The departing New York Fed president said Monday that the banking industry should improve its culture, better aligning pay with long-term stability and removing bad actors.
