Market risk capital requirements will soar come 2022
FRTB implies 54% capital uplift for G-Sibs
The median bank's market risk capital requirement would rocket up to 76% under the revised framework coming in 2022, a study by the Basel committee shows – with requirements for smaller banks rising the most.
The median ‘Group 2’ bank – with Tier 1 capital of less than €3 billion – would see minimum market risk capital requirements surge 76% over current levels when the new methodology, also known as the Fundamental review of the trading book (FRTB), comes into force.
The median ‘Group 1’ bank
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