Banks hail ‘improved’ European leverage ratio

New rules mirror US tweaks but leave question mark over pending settlements

European commission
EC: made "helpful clarifications"

Banks have applauded the European Commission's delegated acts on the leverage ratio and the liquidity coverage ratio (LCR) for a series of tweaks they say will ease implementation. Concerns remain over the treatment of trades that are waiting to be settled, with banks claiming leverage exposure numbers – against which capital adequacy is measured – could be magnified by billions of euros.

"The draft delegated act provides helpful clarification of a number of areas, some of which were unclear int

To continue reading...

You need to sign in to use this feature. If you don’t have a Risk.net account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an indvidual account here: