Insurer Prudential Financial Inc. said the U.S. financial risk council has designated the company as systemically risky in a final vote, bringing it under stricter regulatory oversight.
Prudential had said in July it would contest a proposal by the Financial Stability Oversight Council, a new body of regulators created by the 2010 Dodd-Frank reform, to designate it as systemically important.
The designation shows that regulators believe the company is so big that its failure could destabilize the financial system. The firm now comes under regulation by the Federal Reserve and must meet capital and other requirements.
Shares of the company were marginally down at $78.43 in trading after the bell, after closing at $78.69 on the New York Stock Exchange on Thursday.



How State Farm, USAA Boost Customer Retention: Historic Dividends
Marine Insurers Cancel War Risk Cover as Iran Conflict Escalates
Jury Orders PacifiCorp to Pay $305M in Latest Oregon Wildfire Class Action Verdict
AI-Generated Job Ads Discriminated Against U.S. Workers, Says Civil Rights Unit