GE Capital and AIG accept tags

City A.M. Reporter
GE Capital and AIG both signalled yesterday that they will not appeal a proposal by the new US risk council to designate them as systemically important, a tag that will subject the companies to tougher regulations.

Their decision comes just one day before the end of a 30-day window for the companies to notify regulators on the Financial Stability Oversight Council whether they intended to legally challenge the designation.

The council is a new panel of regulators created by the 2010 Dodd-Frank reform law, and is channeled by the Treasury Secretary.