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Regulatory Requirements (Tables)
12 Months Ended
Dec. 31, 2022
Regulatory Requirements  
Schedule of Regulatory Capital and Capital Ratios
Capital Buffer Requirements
At
December 31,
2022
At
December 31,
2021
At December 31, 2022 and December 31, 2021
StandardizedStandardizedAdvanced
Capital buffers
Capital conservation buffer2.5%
SCB5.8%5.7%N/A
G-SIB capital surcharge3.0%3.0%3.0%
CCyB1
0%0%0%
Capital buffer requirement8.8%8.7%5.5%
1.The CCyB can be set up to 2.5% but is currently set by the Federal Reserve at zero.
Risk-Based Regulatory Capital Ratio Requirements
At
December 31,
2022
At
December 31,
2021
At December 31, 2022 and December 31, 2021
Regulatory Minimum
StandardizedStandardizedAdvanced
Required ratios1
Common Equity Tier 1 capital ratio4.5 %13.3%13.2%10.0%
Tier 1 capital ratio6.0 %14.8%14.7%11.5%
Total capital ratio8.0 %16.8%16.7%13.5%
1.Required ratios represent the regulatory minimum plus the capital buffer requirement.
The Firm’s Regulatory Capital and Capital Ratios
$ in millions
Required
Ratio
1
At December 31, 2022
Required
Ratio
1
At December 31, 2021
Risk-based capital
Common Equity Tier 1 capital$68,670 $75,742 
Tier 1 capital77,191 83,348 
Total capital86,575 93,166 
Total RWA447,849 471,921 
Common Equity Tier 1 capital ratio13.3 %15.3 %13.2 %16.0 %
Tier 1 capital ratio14.8 %17.2 %14.7 %17.7 %
Total capital ratio16.8 %19.3 %16.7 %19.7 %
$ in millions
Required Ratio1
At December 31, 2022At December 31, 2021
Leverage-based capital
Adjusted average assets2
$1,150,772 $1,169,939 
Tier 1 leverage ratio4.0 %6.7 %7.1 %
Supplementary leverage exposure3
$1,399,403 $1,476,962 
SLR5.0 %5.5 %5.6 %
1.Required ratios are inclusive of any buffers applicable as of the date presented.
2.Adjusted average assets represents the denominator of the Tier 1 leverage ratio and is composed of the average daily balance of consolidated on-balance sheet assets for the quarters ending on the respective balance sheet dates, reduced by disallowed goodwill, intangible assets, investments in covered funds, defined benefit pension plan assets, after-tax gain on sale from assets sold into securitizations, investments in the Firm’s own capital instruments, certain defined tax assets and other capital deductions.
3.Supplementary leverage exposure is the sum of Adjusted average assets used in the Tier 1 leverage ratio and other adjustments, primarily: (i) for derivatives, potential future exposure and the effective notional principal amount of sold credit protection, offset by qualifying purchased credit protection; (ii) the counterparty credit risk for repo-style transactions; and (iii) the credit equivalent amount for off-balance sheet exposures.
Schedule of Restrictions on Payments The following table represents net assets of consolidated subsidiaries that may be restricted as to the payment of cash dividends and advances to the Parent Company.
$ in millionsAt
December 31,
2022
At
December 31,
2021
Restricted net assets$45,896 $49,516 
MSBNA  
Regulatory Requirements  
Schedule of Regulatory Capital and Capital Ratios
MSBNA’s Regulatory Capital
Well-Capitalized
Requirement
Required
Ratio1
At December 31, 2022At December 31, 2021
$ in millionsAmountRatioAmount Ratio
Risk-based capital
Common Equity Tier 1 capital6.5 %7.0 %$20,043 20.5 %$18,960 20.5 %
Tier 1 capital8.0 %8.5 %20,043 20.5 %18,960 20.5 %
Total capital10.0 %10.5 %20,694 21.1 %19,544 21.1 %
Leverage-based capital
Tier 1 leverage5.0 %4.0 %$20,043 10.1 %$18,960 10.2 %
SLR6.0 %3.0 %20,043 8.1 %18,960 8.1 %
MSPBNA  
Regulatory Requirements  
Schedule of Regulatory Capital and Capital Ratios
MSPBNA’s Regulatory Capital
Well-Capitalized
Requirement
Required
Ratio1
At December 31, 20222
At December 31, 2021
$ in millionsAmountRatioAmountRatio
Risk-based capital
Common Equity Tier 1 capital6.5 %7.0 %$15,546 27.5 %$10,293 24.3 %
Tier 1 capital8.0 %8.5 %15,546 27.5 %10,293 24.3 %
Total capital10.0 %10.5 %15,695 27.8 %10,368 24.5 %
Leverage-based capital
Tier 1 leverage5.0 %4.0 %$15,546 7.6 %$10,293 6.9 %
SLR6.0 %3.0 %15,546 7.4 %10,293 6.7 %
1.Required ratios are inclusive of any buffers applicable as of the date presented. Failure to maintain the buffers would result in restrictions on the ability to make capital distributions, including the payment of dividends.
2.Regulatory capital amounts and ratios as of December 31, 2022 include the amounts from E*TRADE Bank (“ETB”) and E*TRADE Savings Bank (“ETSB”) as a result of the mergers described herein.
MS&Co.  
Regulatory Requirements  
Schedule of Broker-Dealer Regulatory Capital Requirements
Other Regulatory Capital Requirements
MS&Co. Regulatory Capital
$ in millions
At
December 31, 2022
At
December 31, 2021
Net capital$17,224 $18,383 
Excess net capital12,861 14,208