Following the Federal Reserve’s decision to provide temporary supplementary leverage ratio (SLR) relief for large bank holding companies, all of the federal banking agencies have done the same for insured depository institutions (IDIs), providing even greater relief for GSIBs subject to the enhanced supplementary leverage ratio (eSLR) set at six percent for IDIs.  Under the IFR, reserves held at the Fed and direct Treasury obligations do not count in the SLR denominator, significant relief given that these assets are already exempt from any risk-based capital charge.

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