12 CFR § 217.406 - Short-term wholesale funding score.
---
identifier: "/us/cfr/t12/s217.406"
source: "ecfr"
legal_status: "authoritative_unofficial"
title: "12 CFR § 217.406 - Short-term wholesale funding score."
title_number: 12
title_name: "Banks and Banking"
section_number: "217.406"
section_name: "Short-term wholesale funding score."
chapter_name: "FEDERAL RESERVE SYSTEM"
subchapter_number: "A"
subchapter_name: "BOARD OF GOVERNORS OF THE FEDERAL RESERVE SYSTEM"
part_number: "217"
part_name: "CAPITAL ADEQUACY OF BANK HOLDING COMPANIES, SAVINGS AND LOAN HOLDING COMPANIES, AND STATE MEMBER BANKS (REGULATION Q)"
positive_law: false
currency: "2026-04-05"
last_updated: "2026-04-05"
format_version: "1.1.0"
generator: "[email protected]"
authority: "12 U.S.C. 248(a), 321-338a, 481-486, 1462a, 1467a, 1818, 1828, 1831n, 1831o, 1831p-1, 1831w, 1835, 1844(b), 1851, 3904, 3906-3909, 4808, 5365, 5368, 5371, 5371 note, and sec. 4012, Pub. L. 116-136, 134 Stat. 281."
regulatory_source: "Reg. Q, 78 FR 62157, 62285, Oct. 11, 2013, unless otherwise noted."
cfr_part: "217"
---
# 217.406 Short-term wholesale funding score.
(a) *General.* Except as provided in § 217.400(b)(3)(ii), a global systemically important BHC's short-term wholesale funding score is equal to:
(1) The average of the global systemically important BHC's weighted short-term wholesale funding amount (defined in paragraph (b) of this section);
(2) Divided by the global systemically important BHC's average risk-weighted assets; and
(3) Multiplied by a fixed factor of 350.
(b) *Weighted short-term wholesale funding amount.* (1) To calculate its weighted short-term wholesale funding amount, a global systemically important BHC must calculate the amount of its short-term wholesale funding on a consolidated basis for each business day of the previous calendar year and weight the components of short-term wholesale funding in accordance with Table 1 of this section.
(2) Short-term wholesale funding includes the following components, each as defined in paragraph (c) of this section:
(i) All funds that the bank holding company must pay under each secured funding transaction, other than an operational deposit, with a remaining maturity of 1 year or less;
(ii) All funds that the bank holding company must pay under all unsecured wholesale funding, other than an operational deposit, with a remaining maturity of 1 year or less;
(iii) The fair value of an asset as determined under GAAP that a bank holding company must return under a covered asset exchange with a remaining maturity of 1 year or less;
(iv) The fair value of an asset as determined under GAAP that the bank holding company must return under a short position to the extent that the borrowed asset does not qualify as a Level 1 liquid asset or a Level 2A liquid asset; and
(v) All brokered deposits held at the bank holding company provided by a retail customer or counterparty.
(3) For purposes of calculating the short-term wholesale funding amount and the components thereof, a bank holding company must assume that each asset or transaction described in paragraph (b)(2) of this section matures in accordance with the criteria set forth in 12 CFR 249.31.
Table 1 to § 217.406—Short-Term Wholesale Funding Components and Weights
| Component of short-term wholesale funding | Remainingmaturity of30 days of lessor no maturity | Remainingmaturity of31 to 90 days | Remainingmaturity of91 to 180 days | Remainingmaturity of181 to 365 days |
| --- | --- | --- | --- | --- |
| | 25 percent | 10 percent | 0 percent | 0 percent. |
| (1) Secured funding transaction secured by a level 1 liquid asset; | | | | |
| (2) Unsecured wholesale funding where the customer or counterparty is not a financial sector entity or a consolidated subsidiary thereof; | | | | |
| (3) Brokered deposits provided by a retail customer or counterparty; and | | | | |
| (4) Short positions where the borrowed asset does not qualify as either a level 1 liquid asset or level 2A liquid asset. | | | | |
| | 50 percent | 25 percent | 10 percent | 0 percent. |
| (1) Secured funding transaction secured by a level 2A liquid asset; and | | | | |
| (2) Covered asset exchanges involving the future exchange of a Level 1 liquid asset for a Level 2A liquid asset. | | | | |
| | 75 percent | 50 percent | 25 percent | 10 percent. |
| (1) Secured funding transaction secured by a level 2B liquid asset; | | | | |
| (2) Covered asset exchanges (other than those described in Category 2); and | | | | |
| (3) Unsecured wholesale funding (other than unsecured wholesale funding described in Category 1). | | | | |
| | 100 percent | 75 percent | 50 percent | 25 percent. |
| Any other component of short-term wholesale funding. | | | | |