Foreign banks eye HQLA savings in US

Liquid asset minimum requirements could drop by $14.9 billion at TD Bank alone

Some foreign banking organisations (FBOs) could be freed from the US liquidity coverage ratio, and others could offload heaps of easy-to-sell assets as their minimum requirements loosen under a Federal Reserve plan unveiled on April 8.

The US units of Santander, BBVA, BNP Paribas and BMO are likely to be exempt from the LCR entirely under the Fed’s new taxonomy.

All four FBOs’ intermediate holding companies (IHCs) reported short-term wholesale funding below $50 billion at end-2018, the level

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