All 34 lenders subjected to the Fed stress tests exceeded the minimum projected capital and leverage ratios under the severely adverse scenario.

It’s the third consecutive year there have been no banks failing.

The results of the CCAR – in which banks’ buyback and dividend plans are evaluated – are set for release after the market close on Wednesday. Passing the stress test does not necessarily mean a lender will pass the CCAR as the PhDs at the Fed can approve or flunk a bank based on qualitative as well as quantitative grounds.

Among a couple of close calls, Morgan Stanley’s (NYSE:MS) supplementary leverage ratio fell to as low as 3.8% under the severely adverse scenario – not too far from the 3% minimum. Ally Financial’s (NYSE:ALLY) CET 1 ratio fell to as low as 6.5% vs. the 4.5% minimum.

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