Fed: JPMorgan Chase Will Need More Capital Under New Requirements

JPMorgan Chase & Co. JPM is facing a $21 billion capital shortfall under proposed new requirements of the Federal Reserve, according to news reports Tuesday.

J.P. Morgan Chase changed hands in the extended session recently at $62.10, down $0.35 cents a share.

Fischer called J.P. Morgan's potential need for capital "a pretty impressive shortfall," according to The Wall Street Journal. Under the proposed requirement, the bank would have until January 2019 to raise the added capital.

Fed Chair Janet Yellen said the proposed rules aim to encourage big banks "to reduce their systemic footprint and lessen the threat that their failure could pose to overall financial stability," according to the Associated Press.

Proposed new capital requirements were approved Tuesday by the Fed and will be open to public comment through February 28, according to the AP.

The eight banks covered by the proposal also include Goldman Sachs Group Inc GS, Wells Fargo & Co. WFC, Morgan Stanley MS, Bank of New York Mellon Corp. BK and State Street Corp STT.