Substitutability cap spares JPM, Citi higher Basel G-Sib surcharges

Stalled framework review by Basel Committee benefits world’s largest bank for 10th consecutive year

JP Morgan and Citi avoided higher capital requirements in the latest assessment of global systemically important banks, thanks to the Basel Committee on Banking Supervision’s cap on the substitutability category’s weight on their systemic risk scores, Risk Quantum analysis shows.

The substitutability score, which measures the lack of readily available ‘step in’ institutions that can replace a G-Sib’s services should it fail, is capped at 500 basis points under the BCBS’s methodology.

Had 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