Macquarie (ASX:MQG) share price lower after APRA crackdown

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The Macquarie Group Ltd (ASX: MQG) share price is sinking today after APRA found Macquarie Bank breached certain regulations.
The Macquarie Group Ltd (ASX: MQG) share price is sinking today. The negative movement comes after the Australian Prudential Regulatory Authority (APRA) found Macquarie Bank breached certain regulations.

At the time of writing, shares in the financial giant were trading for $151.08 – down 1.15%. By comparison, the S&P/ASX 200 Index (ASX: XJO) is up 0.41%.

Let's take a closer look at APRA's announcement.

Macquarie share price down after APRA crackdown

The banking regulator found between the years of 2018 and 2020, Macquarie Bank committed multiple breaches of APRA prudential and reporting standards.

The bank was found to have committed multiple breaches on liquidity reporting and funding arrangements within companies in the group "for the purposes of calculating capital and related entity exposure metrics."

APRA did point to the fact the breaches are historical and "do not impact on the current overall soundness of Macquarie Group's capital or liquidity positions." Yet, the regulator says the infringements raise "serious questions" about risk management practice at the bank. Risk is an important factor when investors decide if the Macquarie…
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