U.S. Regulators Could Adopt Stricter Leverage Ratio And Rollout Period

The Federal Reserve, FDIC and OCC will likely to adopt a more stringent leverage ratio and rollout period than BCBS, believes RBS in its recent report. RBS in its recent report titled ‘Basel III Leverage Ratio Amendments’ notes the recent amendments should be beneficial for risk taking and financial market functioning. BCBS eases leverage ratio Recently the Basel Committee on Banking Supervision said in a statement that it agreed to ease the leverage ratio after thoroughly analyzing bank data. The leverage ratio measures how much capital a bank must hold against its loans and other assets. According to the RBS…