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23 Cards in this Set
- Front
- Back
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Purposes of capital |
1) absorbe losses 2) maintain public confidence 3) protect the DIF 4) restrict excessive asset growth |
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What is included in comm equity T1C |
1)Common stock, surplus, and retained earn 2) AOCI 3) adjustments 4) qualifying minority interest |
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What's included in additional T1C |
1) noncumulative perpetual preferred 2) SBLF and TARP 3) minority interests less certain bank investments |
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What's in tier 2 capital |
1) ACL 2) Preferred stock and sub debt |
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Leverage ratio= |
T1C/average assets |
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Comm equity T1C ratio= |
CET1C/risk weighted assets |
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Total capital ratio= |
Total risk based capital/risk weighted assets |
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When is stress testing required |
After $10 billion |
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What form of capital is the most loss absorbing |
Common equity tier 1 |
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What items must be excluded from CET1 capital |
MSAs DTA froperating loss carry forward Gain on sale of securitization exposure |
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Minority interest max contribution to total capital |
10% |
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Risk weight for HVCRE |
150% |
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Commercial loan risk weight |
100% |
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How far past due to receive 150% risk weight |
90+ days Excludes loans with partial guarantees |
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Capital conservation buffer restriction |
2.5-1.876% =60% max dividends 1.875-1.26%=40% 1.25-0.626%=20% 0.625 and below=0% |
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What is cap buffer added to? |
Adequately capitalized for each risk ratio |
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CBLR requirements |
9% leverage Less than $10 billion assets Off-balance sheet commitments of 25% or less Sum of trading assets and liabilities 5% or less of consolidated assets. |
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PCA categories |
Total RBC: 10, 8, less than 8 T1C: 8, 6, less than 6 CET1: 6.5, 4.5, less than 4.5 Leverage: 5, 4, less than 4 |
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Brokered deposit limitations for adequately captalized |
No new, renewed, or roll over of brokered deposits-unless waiverNo waiver is less than well capitalized No new, renewed, or roll over of brokered deposits-unless waiverNo waiver is less than well capitalized No waiver is less than well capitalized |
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Deposit rate restrictions if less than well capitalized |
Higher of 75bps over national weighted average rate or120% of current yield on similar maturity US treasury obligations plus 75bps Higher of 75bps over national weighted average rate or120% of current yield on similar maturity US treasury obligations plus 75bpsAlso local rate cap of 90% of highest rate on specific deposit product Higher of 75bps over national weighted average rate or120% of current yield on similar maturity US treasury obligations plus 75bpsAlso local rate cap of 90% of highest rate on specific deposit product Also local rate cap of 90% of highest rate on specific deposit product |
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Risk weight for residential mortgages |
50% |
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Corporate bond risk weight |
100% |
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Risk weight for MSAs |
100% |
