Arch Capital Group Ltd.
Arch Capital Group Ltd.SupportBusiness
Summary: Arch Capital Group, Ltd. supports the proposed risk-based capital requirements but argues that the current proposals fail to sufficiently recognize the loss-mitigating benefits of private mortgage insurance (MI). The company advocates for specific amendments that allow banks to recognize MI coverage (subject to a counterparty haircut), permit insurance-based credit risk transfer (CRT), and lower risk weights for prudentially regulated eligible guarantors to improve bank participation in the mortgage market.
Please find Arch's comments on the Regulatory Capital Rule: Category I and II Banking Organizations, Banking Organizations with Significant Trading Activity, and Optional Adoption for Other Banking Organizations.