Home \ Keywords \ capital distributions

You are here

capital distributions

Fed’s Stress Test Actions: Bank Failures, Bailouts More Likely

In late June, the Federal Reserve Board decided not to fully stop Wall Street banks from making capital distributions through dividend payouts, although they did put some “limitations” on dividend payouts. Dennis Kelleher, president and CEO of Better Markets, says this decision could lead to more bank failures and make taxpayer bailouts more likely.