Proposal to relax a major rule related to capital requirements for large banks, which, as the latter support, limits their ability to own more bonds and act as 29 trillion intermediaries. The dollars was presented by the Federal Reserve.

Specifically, the Fed proposes the revision of the so -called “enhanced complementary leverage”, such as Bank of America Corp., JPMorgan Chase & Co. and Goldman Sachs Group Inc., in an effort to boost their bond market participation.

As part of the revision, the amount of capital requirements for holding companies in the range of 3.5%to 4.5%will be reduced from current 5%.

Their subsidiaries will also see the capital requirements that apply to them are reduced in the same range, from the 6% today.

“The proposal will help to build US bond markets, reducing the likelihood of market dysfunction and the need to intervene in the federal bank in a future stressful event,” said Michel Bowman, a new vice president of the Federal Bank.

“We need to be foresight in dealing with the unintentional consequences of banking regulation,” Bowman added.

The Fed will vote to promote the proposal later today.