On December 28, 2016, the OCC posted its final rule to prohibit national banks from dealing in or investing in industrial or commercial metals. This rule was proposed by the OCC in September 2016, and was approved in substantially the same form as the proposal.
Action Required Under the Volcker Rule by January 22, 2017.
Late Monday afternoon, the Fed announced that banks may seek an extension of time (up to five years) to hold and presumably arrange to sell their investments in or holdings of so-called “illiquid funds” that were made impermissible under the Volcker Rule. Under the most recent relief before Monday, these investments had to be “conformed” or sold by July 21, 2017. Many banks and banking interest groups had complained to the Fed that a variety of hedge funds and private equity funds were sold and operated to invest in “illiquid” assets and that forced sales of such investments before maturity would be a financial burden.