Global custodians provided capital relief by Dodd-Frank amendment

An amendment to the Dodd-Frank Act was introduced to ease requirements for smaller banks. However, three unlikely banks have benefited too.

In May 2018, US President Donald

Trump signed into law an amendment to post-financial crisis regulation, the Dodd-Frank Act, that would rollback certain parts of the legislation.

The bill was aimed at providing relief to small- and medium-sized banks with less than $ 250 billion in assets, which were seen as being disproportionally affected by the tougher rules.

However, the amendment has also provided relief to some of the largest US custodian banks- BNY Mellon, Northern Trust and State Street. This is because it included a provision

20 Global Custodian Summer 2018