On a going-concern basis, G-SIBs are subject to capital surcharges that range from 1% to 2.5% of risk-weighted assets, or RWAs. These requirements must be met with the highest-quality type of capital, Common Equity Tier 1. G‐SIBs must also meet requirements for loss-absorbing capacity in resolution.
The minimum TLAC requirement, which is expressed as a ratio of both risk-weighted assets (RWAs) and the Basel III leverage exposure measure, is being phased in between 2019 and 2022. In terms of capital, clear progress has been made. The Tier 1 capital ratios of G-SIBs have doubled since 2011. Over the same period, leverage ratios have nearly doubled as well.