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.
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