Title 12, Banks and BankingRelease 119-110

§5238 Study on Mark-to-market Accounting

Title 12 › CHAPTER 52 — EMERGENCY ECONOMIC STABILIZATION › SUBCHAPTER I — TROUBLED ASSETS RELIEF PROGRAM › § 5238

Last updated Sep 22, 2026|Official source

Summary

The Securities and Exchange Commission must study how the mark-to-market rules in FASB Statement 157 affect financial institutions, and it must consult with the Board and the Secretary. The study must look at balance-sheet effects, the role in 2008 bank failures, how good the information is for investors, how FASB makes rules, whether changes are feasible, and alternative methods. The SEC must send a report with findings and any administrative or legislative recommendations to Congress before the end of the 90-day period beginning on October 3, 2008.

Full Legal Text

Title 12, §5238

Banks and Banking, Source: USLM XML via OLRC

(a)Study

The Securities and Exchange Commission, in consultation with the Board and the Secretary, shall conduct a study on mark-to-market accounting standards as provided in Statement Number 157 of the Financial Accounting Standards Board, as such standards are applicable to financial institutions, including depository institutions. Such a study shall consider at a minimum—

(1)the effects of such accounting standards on a financial institution’s balance sheet;

(2)the impacts of such accounting on bank failures in 2008;

(3)the impact of such standards on the quality of financial information available to investors;

(4)the process used by the Financial Accounting Standards Board in developing accounting standards;

(5)the advisability and feasibility of modifications to such standards; and

(6)alternative accounting standards to those provided in such Statement Number 157.

(b)Report

The Securities and Exchange Commission shall submit to Congress a report of such study before the end of the 90-day period beginning on October 3, 2008, containing the findings and determinations of the Commission, including such administrative and legislative recommendations as the Commission determines appropriate.

Reference

Citations & Metadata

Citation

12 U.S.C. § 5238

Title 12, Banks and Banking

Last Updated

Sep 22, 2026

Release point: 119-110