At US G-Sibs, capital buffers have thinned since 2016

The amount of capital that large US banks hold as a cushion in excess of minimum requirements has declined by almost half since 2016.

The median US global systemically important bank (G-Sib) had a minimum Common Equity Tier 1 (CET1) capital requirement of 9.5% of risk-weighted assets as of the second quarter of this year, and a buffer above this minimum of 3.1%.

In Q1 2016, this minimum was 5.9% and the buffer amount 6%. Over the last three years, therefore, the ratio of the buffer amount to

To continue reading...

You need to sign in to use this feature. If you don’t have a 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 individual account here: