In the fourth quarter of 2017, seven of the 10 "advanced approaches" banks reported lower risk-weighted assets compared to the standardized approach, lifting their capital ratios.
The group of 10 large banks, which qualified for an alternate capital treatment by regulators, reported an aggregate $6.812 trillion in risk-weighted assets at the end of 2017, down from $6.971 trillion a year earlier. These same institutions reported an aggregate $6.952 trillion in risk-weighted assets under the standardized approach as of Dec. 31, 2017, up from $6.842 trillion at the end of 2016.


The group reported a median common equity Tier 1 ratio of 12.06% at year-end, up 2 basis points since Sept. 30, 2017 and 35 basis points from the end of 2016. Wells Fargo & Co. reported the highest year-over-year increase of 115 basis points to 12.28%, while Goldman Sachs reported a 224-basis-point decrease to 10.87%.


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