Chafing under capital rules, JP Morgan sells home loans

JP Morgan has been selling off mortgage loans, citing punitive capital charges applied under the Basel Committee-defined standardised approach. Risk Quantum analysis suggests the risk-weighting of these assets under this approach is roughly twice that produced by the bank’s own models.

The firm had residential mortgage exposures-at-default (EAD) of $289 billion as of end-September, a decline of 9.4% from a year prior. Risk-weighted assets (RWAs) for these exposures, as determined under the

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact or view our subscription options here:

You are currently unable to copy this content. Please contact to find out more.

Sorry, our subscription options are not loading right now

Please try again later. Get in touch with our customer services team if this issue persists.

New to View our subscription options

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