Having cut risk, Wells Fargo may win a lower G-Sib surcharge
The San Francisco-based bank has lowered its systemic risk score through 2020
Wells Fargo continued to reduce its systemic footprint in the third quarter, and may be in line for a smaller too-big-to-fail capital surcharge in 2022 as a result.
The San Francisco-based bank had a systemic risk score, as calculated using the Federal Reserve’s methodology, of 323 basis points as of end-September, down from 335bp in Q2. This is below the 330bp threshold at which its current 2%
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