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The Boston Globe

Business

US regulators say 8 big banks must reduce risk

WASHINGTON — Regulators want to require eight of the largest US banks to meet a stricter measure of health to reduce the threat they pose to the financial system.

The Federal Reserve, the Federal Deposit Insurance Corp., and the Office of the Comptroller of the Currency are expected to propose Tuesday that banks increase their ratio of equity to loans and other assets from 3 percent to 5 or 6 percent.

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