Daily News: April 9, 2014

Bloomberg: Biggest U.S. Banks to Face Higher Leverage Caps

Bloomberg reported that the biggest U.S. bank holding companies will need to round up as much as $68 billion more in loss-absorbing capital under supplemental leverage ratio rules adopted by regulators in Washington.

Bloomberg said that eight lenders face greater restrictions on borrowing power than their overseas competitors as they meet a demand to hold capital equal to at least 5% of total assets.

Bloomberg noted that the rules designed to curtail financial-system risk surpass the 3% minimum set in a global agreement by the Basel Committee on Banking Supervision.

To read the entire Bloomberg article, click here.