Fed's Bowman on eSLR Regulatory Modernization: Preliminary Observations on Treasury Market Liquidity Improvements Following New Rule Implementation
Fed Vice Chair for Supervision Bowman delivered remarks sharing preliminary assessments following the implementation of the eSLR rule finalized in November 2025.
Key Takeaways:Understand the calibration logic behind eSLR's shift from a fixed 2% buffer to 50% of GSIB method-1 surcharge capital, and its impact on the balance sheet capacity of Treasury market dealers.