March 17, 2015

Jenner & Block Partner Timothy A. Karpoff was interviewed again on Bloomberg Television’s “Street Smart” segment regarding the second part of the federal government’s stress tests on the country’s 31 largest banks.  In the follow-up to his March 5 interview, Mr. Karpoff offered his insight on the qualitative portion of the tests, which indicate the strength of a bank’s financial capital planning processes.  A former US Treasury official, Mr. Karpoff observed that there were no real surprises in the results. While the tests revealed some concerns, he said that “the way I think about the stress test these days is a little like the bar exam: the best score is one above passing. As long as you can return the cash that you’re looking for, you don’t want to hold more capital than you have to -- at least that’s what the investors want.”  Please click here to see the segment.