M&T;, Credit Suisse see biggest jumps in stress capital requirements
M&T Bank Corporation and Credit Suisse Holdings will have to increase their stress capital buffers by more than 2 percentage points based on their performance in this year's Federal Reserve stress test.
By October 1, M&T must increase its tier one equity capital ratio from the 2.5% minimum to 4.7%, while Credit Suisse will have to increase its buffer from 6.9% to 9%.
Eleven other banks that participated in the annual stress test will also see their capital requirements increase for 2023, including DWS a separately tested subsidiary of Deutsche Bank which must increase its holdings by 1.5%, and Santander, which must add 1.2%, according to the Fed's large bank capital requirements report, released Thursday.
The Federal Reserve released this year's stress capital buffer figures Thursday, which showed that most banks subject to the Fed's stress tests will have to increase their capital levels by October 1.
Bloomberg News
Several others, including Bank of America, JPMorgan and Huntington Bancshares must increase their buffers by just under 1 percentage point. Seven banks will have lower stress capital requirements, including UBS, which will see its buffer shrink by 2.3%.
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