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Feds to Police Bank Pay

Regulators

Will try to stop rewards for excessive risk.

We guess we’ll soon see if there are any real teeth here: Federal regulators will police banks’ pay policies to make sure that they don’t reward excessive risk. The Federal Reserve proposed the plan last year and it has earned the endorsement of other key regulators, like the FDIC. Under the plan, the regulators won’t determine compensation; rather, they will review and potentially veto bad policies.

Read it at Associated Press

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