Feds target big bank commodity lines

The Feds have a proposed rule that could drive banks out of the business of owning, trading, or moving commodities such as oil and aluminum by making the lines too expensive.  The proposal was designed to force banks to do more to protect themselves against environmental disasters that might cause huge liabilities and require banks to hold billions of dollars of extra capital in their physical commodities business.

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This is a great example of an enterprise risk.

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