Large Bank Examination Workshop February 2026

Liquidity Stress Test (LST) Institution-specific Tailored to highlight vulnerable areas • Asset quality concerns • Credit rating downgrade • Operational fraud • Reputation risk • Large loss of capital • Run-off of wholesale funding; client behavior changes • Impact of rapid growth on liquidity needs • Derivative payables

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LST - Systemic Aware of market history but not overly reliant on similar scenario • Primary and secondary markets (repo and securitization) dry up for many assets

• Payment systems disruption • Capital markets disruption • Uncertainty in industry • Loss of confidence in CP market

• Economic conditions • International events • Derivative payables as well CCP increasing margins

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