$5.5TN In Balance Sheet Capacity Unlocked: Assessing The Impact Of SLR Changes For Big Banks

Source: https://www.zerohedge.com/markets/55tn-balance-sheet-capacity-unlocked-assessing-impact-slr-changes-big-banks
Published: Jun 26, 2025
Author: Tyler Durden
Post Date: 2025-06-26 17:43:54 by Horse
Views: 283

Changes to the SLR would increase bank holdco balance sheet capacity by up to $5.5 trillion.

SLR Changes Increase Bank Capacity

Recent changes to the supplementary leverage ratio (SLR) are expected to increase the balance sheet capacity of large U.S. banks by up to $5.5 trillion, according to an analysis by Goldman's bank analyst Richard Ramsden.

These changes aim to provide banks with more flexibility to offer short-term secured financing to market participants, potentially improving liquidity in financial markets, particularly the U.S. Treasury (UST) market.

The adjustments to the SLR calculation are designed to ensure that leverage serves as a capital backstop for the banking industry rather than a binding constraint.

(This allows the FED to push $5.5 trillion more in US Treasuries onto banks so we can run astronomical deficits for 2 more years.)


Poster Comment:

New Texas Law Prevents Land Sales To CCP Members <> Texas is the state with the largest Chinese holdings, totaling 123,708 acres, according to Department of Agriculture.

https://www.zerohedge.com/political/new-texas-law-prevents-land-sales-ccp-members

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