Capital conservation buffer and leverage buffer.

CFR · 2024-01-01 · US · Title 12

(a) (1) (2) (i) The Enterprise's net income, as defined under GAAP, for the four calendar quarters preceding the current calendar quarter, net of any distributions and associated tax effects not already reflected in net income; and (ii) The average of the Enterprise's net income for the four calendar quarters preceding the current calendar quarter. (3) (4) (5) (6) (7) (ii) If an Enterprise has not yet received a stress capital buffer requirement, its stress capital buffer for purposes of this part is 0.75 percent of the Enterprise's adjusted total assets, as of the last day of the previous calendar quarter. (b) (2) (3) (i) A capital conservation buffer that is greater than its prescribed capital conservation buffer amount; and (ii) A leverage buffer that is greater than its prescribed leverage buffer amount. (4) (i) The eligible retained income of the Enterprise is negative; and (ii) Either: (A) The capital conservation buffer of the Enterprise was less than its stress capital buffer; or (B) The leverage buffer of the Enterprise was less than its prescribed leverage buffer amount. (5) (c) (2) (A) The Enterprise's adjusted total capital minus the minimum amount of adjusted total capital under § 1240.10(b); (B) The Enterprise's tier 1 capital minus the minimum amount of tier 1 capital under § 1240.10(c); or (C) The Enterprise's common equity tier 1 capital minus the minimum amount of common equity tier 1 capital under § 1240.10(d). (ii) Notwithstanding paragraphs (c)(2)(i)(A) t

official document · source cfr-2024 · id 12:§ 1240.11