What is Leverage Ratio Requirement?
Leverage Ratio Requirement A regulatory standard requiring banks to maintain a minimum ratio of Tier 1 capital to total leverage exposure, irrespective of risk weighting, under Basel III.
Source: CFA Institute, IFRS Foundation, FASB (GAAP), Basel III Framework
How is “Leverage Ratio Requirement” Used in Practice?
The leverage ratio requirement limits excessive leverage by mandating a minimum capital-to-exposure ratio for all banks.
Certification Exam Relevance
Who Needs to Know This Term?
- Financial Analysts
- Bankers
- Traders
Learn “Leverage Ratio Requirement” Free with Termify
Master Leverage Ratio Requirement and 4,071+ professional terms with native pronunciation, IPA transcriptions and career quizzes. 100% free, forever.
Download Free for iOSFrequently Asked Questions
What is Leverage Ratio Requirement?
A regulatory standard requiring banks to maintain a minimum ratio of Tier 1 capital to total leverage exposure, irrespective of risk weighting, under Basel III.
Where can I learn this term for free?
Termify is a 100% free professional English app that teaches Leverage Ratio Requirement and 4,071+ other industry terms with native pronunciation, IPA transcriptions and career quizzes. Available on iOS in 23 languages. No subscription, no credit card required.
Last updated: