Factbox: What a second Trump term would mean for U.S. financial policy

By Pete Schroeder and Michelle Price
WASHINGTON (Reuters) - A victory for US President Donald Trump in the November 3 election would continue his administration's four-year deregulation phase, which industry estimates have brought in at least $ 40 billion in profits for banks and other financial firms.
Here are some more key changes to financial rules policy experts would expect if the incumbent Republican wins a second term in the White House.

HOUSING FINANCING OVERHAUL
Trump's government could push ahead with the ambitious overhaul of the real estate finance market.
The Federal Housing Finance Agency (FHFA) has begun the difficult process of returning Fannie Mae and Freddie Mac, the government-sponsored companies that guarantee more than half of the country's mortgages, to the private markets. It has allowed the couple to strengthen their capital base by keeping more of their profits, and it is creating new capital requirements that should be completed by the end of this year.
In a second term, FHFA Director Mark Calabria could pursue plans to raise potentially billions of dollars in additional capital from private sources, reduce the couple's activities, strengthen internal controls and reduce risk.

FINTECH PUSH
The Trump administration has been a major proponent of innovation in financial services and has already taken steps to help tech companies get into banking. A second term would give Trump officials more leeway to advance into this often controversial area.
Brian Brooks, acting head of the Office of the Comptroller of the Currency (OCC), has been a strong advocate that fintech companies should be given the opportunity to apply for Bundesbank charters that give them more freedom to expand across the country. While this idea has been legally challenged by state regulators, a second term from Trump would give the OCC more runway to get its idea off the ground.
Under Trump, the Federal Deposit Insurance Corporation began granting non-bank special licenses to non-bank companies for the first time in over a decade, paving the way for more non-bank companies to enter the sector if Trump wins the election next month.

BANK CAPITAL
Thanks to bank deregulation legislation passed in 2018 https://br.reuters.com/article/us-usa-house-banks-lobbying-idUSKCN1IN328, Trump regulators have eased capital and liquidity regulations https: //www.reuters .com / Articles / USA-USA-Fed-Banks / Fed-Eases-Post-Crisis-Rules-for-Domestic-Foreign Banks-IDUSKBN1WP2OU for many lenders, but global US banks have been largely excluded from this package. Lobbyists expect Wall Street banks to get more capital relief if Trump is re-elected, particularly with regard to the "G-SIB surcharge," an additional capital buffer needed by large global systemically important banks that have battled the measure .
Another industry focus is likely to be the "Collins Amendment," a rule introduced more than a decade ago after the financial crisis that sets minimum debt and capital requirements for banks. Federal Reserve officials, including Chairman Jerome Powell, had expressed their willingness to temporarily relax this requirement with the permission of Congress. Four more years under Trump would give the banking industry time to push for lasting relief.

CAPITAL MARKETS REFORM
Since a bill https://www.reuters.com/article/us-usa-house-capital-markets/house-passes-bipartisan-package-on-easing-capital-markets-rule-idUSKBN1K72RL to revise the US capital market rules In 2018, Republican lawmakers and lobbyists urged the Securities and Exchange Commission (SEC) to use their powers to cut red tape for listed companies and make it easier for private companies to go public. Policy experts believe the SEC will revise corporate disclosure and reporting rules and ease restrictions on raising private capital during Trump's second term.
Now that it has become more difficult for shareholders to get companies to deal with environmental and social issues, the SEC is likely to consider other ways to re-involve activist investors if Trump stays in office. This could include a potential tightening of short selling restrictions and disclosure rules if activist investors buy up company shares, policy experts said.

(Reporting by Michelle Price; Editing by Paul Simao)

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