New trends in financial regulation: the Federal Reserve leads, three major regulatory agencies exclude bank "reputation risk" assessment.

The Federal Reserve announced on Monday that it will officially cease including reputation risk assessments in bank reviews, after banking industry groups and Republican lawmakers had criticized this mechanism as unfair multiple times before. The agency stated that it has begun revising the relevant wording in regulatory documents, and will replace the original framework with more specific financial risk analysis in the future. However, it emphasized that this move will not weaken the strict requirements for bank risk management, and institutions will still need to maintain sound operations to safeguard financial security.