At US G-Sibs, capital buffers have thinned since 2016
Median G-Sib buffer stands at 3.1% and minimum requirement 9.5%
The amount of capital that large US banks hold as a cushion in excess of minimum requirements has declined by almost half since 2016.
The median US global systemically important bank (G-Sib) had a minimum Common Equity Tier 1 (CET1) capital requirement of 9.5% of risk-weighted assets as of the second quarter of this year, and a buffer above this minimum of 3.1%.
In Q1 2016, this minimum was 5.9% and the buffer amount 6%. Over the last three years, therefore, the ratio of the buffer amount to
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