Capital Buffers and Basel III Leverage-Ratio Calculations

Capital Buffers and Basel III Leverage-Ratio Calculations - Article

This article explains Basel III capital buffers and leverage-ratio calculations for CAIIB BFM. It covers the Capital Conservation Buffer, Countercyclical Capital Buffer, their relationship with CET1 and RBI capital minima, and the non-risk-based leverage ratio. It also explains the leverage exposure measure, current RBI minimum ratios for D-SIBs and other banks, and common numerical mistakes involving RWA, buffers and total exposure.