Citi, Goldman edge above Collins floor
Both banks’ risk-based capital requirements will be set using advanced approach
Abrupt spasms to the risk-adjusted value of assets held by Citi and Goldman Sachs saw the two banks escape the regulator-set standardised approach for calculating their capital requirements in Q1. For now, their minimum risk-based charges will be determined using their own internal models.
The two banks both posted risk-adjusted assets as calculated using the advanced approach, which uses their own data inputs and modelling techniques, in excess of these same assets risk-weighted using the
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