Basel
21 November 2016
Reporter: Drew Nicol

FSB updates G-SIB list


The Financial Stability Board (FSB) has revised its ranking list of globally systemically important banks (G-SIB) using year-end 2015 data.

The number and names of banks identified as G-SIBs remained the same (30 banks), but several banks were reclassified.

Four banks moved up a place. Citigroup rose to fourth, Bank of America moved up to third, and Industrial and Commercial Bank of China and Wells Fargo took second place.

Meanwhile, three banks moved down a step. HSBC went from fourth to third, Barclays dropped to second, and Morgan Stanley moved down to first.

G-SIBs have been allocated to buckets corresponding to the higher capital buffers that they would be required to hold by national authorities since an update to Basel III’s framework in November 2012.

The lowest level-one G-SIBS are required to hold an additional 1 percent of capital on their books, with each level adding a further 0.5 percent up to the highest level (five), which requires 3.5 percent extra capital.

The most recent assignment will determine the additional buffer requirements that will apply from 1 January 2018.

G-SIBs will also be required to meet the total loss-absorbing capacity standard from the start of 2018.

The changes, which come in consultation with the Basel Committee on Banking Supervision and national authorities, reflect the improvement of data quality and changes in underlying activity.

More regulation news
The latest news from Asset Servicing Times
Join Our Newsletter

Sign up today and never
miss the latest news or an issue again

Subscribe now
LEIs offer major cost savings, says OFR
17 November 2017 | Washington DC | Reporter: Drew Nicol
The OFR noted that early academic studies found that cost savings associated with adoption of the LEI approached $1 billion annually
MTS and UnaVista to collaborate for SFTR
13 November 2017 | London | Reporter: Jenna Lomax
The collaboration means that firms trading on MTS’s new global collateral management segment will be able to use UnaVista’s trade repository to trade under SFTR
LSE teams up with APIR Systems to brings LEIs to Australasia
08 November 2017 | London | Reporter: Drew Nicol
Industry estimates suggest more than 250,000 entities are still without the required LEIs
MiFID II creates “much uncertainty” for EEA members
06 November 2017 | Oslo | Reporter: Jenna Lomax
For EEA members, “much uncertainty” remains regarding ESMA's assessment of the EEA legal basis for MiFID II, according to Norway’s Finanstilsynet
SimCorp: MiFID II remains a concern for buy-side firms
01 November 2017 | London | Reporter: Becky Butcher
Some 28 percent of buy-side representatives are still unsure if and how their firm will be affected by MiFID II, just 90 days before the implementation deadline, according to a SimCorp survey
SEC grants relief to US brokers on MiFID II
27 October 2017 | New York | Reporter: Theo Andrew
The division of investment management issued three no-action letters, providing 30 months relief, allowing US broker-dealers to receive payments in hard dollars
Solvassure creates first-of-its-kind integrated reg platform
25 October 2017 | London | Reporter: Theo Andrew
The compliance platform addresses demands under the General Data Protection Regulation and the Accountability Regime, to help firms meet next year's regulatory deadlines
More regulation news