FHFA Proposes Additional Public Disclosure Requirements for Fannie, Freddie

The Federal Housing Finance Agency today proposed additional public disclosure requirements for Fannie Mae and Freddie Mac. The proposal would add new standardized approach disclosure requirements related to regulatory capital instruments and risk-weighted assets calculated under the enterprise regulatory capital framework.

The new requirements are intended to provide market participants with more information to assess risks and capital adequacy, FHFA said, adding that the requirements would also “increase the transparency of the safety and soundness of the enterprises while decreasing risk to the U.S. taxpayers.”

The proposed rule would align Fannie and Freddie’s disclosure requirements with those of large banking organizations under the regulatory capital framework adopted by banking regulators, FHFA said. The agency said it may also consider additional disclosure requirements in the future. The American Bankers Association is reviewing the proposal and plans to file a comment letter.