Large Bank Examination Workshop February 2026

Net Non-Core Funding Dependence

Non-Core Liabilities – ST Investments Long-Term Earning Assets

• Measures volume of long-term assets funded by non core funds • A measure of asset/liability mismatch • What are “core” funds?

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Loans to Deposits • Assumes loans are inherently illiquid  Is this true today? • Impact of non-deposit funding sources not considered • Historical comparison can be misleading • Peer comparison is often meaningless • Loans to Total Assets is an alternative  But, still need more information to determine relevance (level of pledgings)

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