Basel III alone won’t be capital neutral, says Fed official
Endgame may raise requirements, but will be offset by changes to G-Sib and stress capital buffers
A Federal Reserve official says the Basel III endgame package may not be capital neutral for the largest US banks, but changes to capital buffers for global systemically important banks (G-Sibs) will help to achieve that goal overall.
“We are looking at it quite comprehensively between risk-based capital, the G-Sib surcharge, and the leverage ratio,” said Norah Barger, acting deputy director of the
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