Additional Collateral Required - Two Notch Downgrade
Bank of America Additional Collateral Required - Two Notch Downgrade increased by 42.1% to $1.50B in Q1 2026 compared to the prior quarter. Year-over-year, this metric grew by 66.0%, from $905.00M to $1.50B. Over 5 years (FY 2020 to FY 2025), Additional Collateral Required - Two Notch Downgrade shows an upward trend with a 7.5% CAGR. This increase may warrant attention — for this metric, lower values are generally preferred.
Analysis
How to read this metric
A lower requirement is better, as it indicates the bank has lower contingent liquidity obligations in the event of a significant credit downgrade.
Detailed definition
This metric quantifies the additional collateral the bank would be contractually required to post to counterparties if i...
Peer comparison
Commonly disclosed by systemically important financial institutions as part of their liquidity risk management disclosures.
collateral_required_two_notch_downgradeHistorical Data
| Q2 '21 | Q3 '21 | Q4 '21 | Q1 '22 | Q2 '22 | Q3 '22 | Q4 '22 | Q1 '23 | Q2 '23 | Q3 '23 | Q4 '23 | Q1 '24 | Q2 '24 | Q3 '24 | Q4 '24 | Q1 '25 | Q2 '25 | Q3 '25 | Q4 '25 | Q1 '26 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Value | $786.00M | $802.00M | $823.00M | $993.00M | $1.03B | $1.04B | $913.00M | $908.00M | $906.00M | $951.00M | $902.00M | $878.00M | $833.00M | $740.00M | $922.00M | $905.00M | $870.00M | $869.00M | $1.06B | $1.50B |
| QoQ Change | — | +2.0% | +2.6% | +20.7% | +3.7% | +1.3% | -12.5% | -0.5% | -0.2% | +5.0% | -5.2% | -2.7% | -5.1% | -11.2% | +24.6% | -1.8% | -3.9% | -0.1% | +21.6% | +42.1% |
| YoY Change | — | — | — | — | +31.0% | +30.0% | +10.9% | -8.6% | -12.0% | -8.8% | -1.2% | -3.3% | -8.1% | -22.2% | +2.2% | +3.1% | +4.4% | +17.4% | +14.6% | +66.0% |
Additional Collateral Required - Two Notch Downgrade at Other Companies
Frequently Asked Questions
- What is Bank of America's additional collateral required - two notch downgrade?
- Bank of America (BAC) reported additional collateral required - two notch downgrade of $1.50B in Q1 2026.
- How has Bank of America's additional collateral required - two notch downgrade changed year-over-year?
- Bank of America's additional collateral required - two notch downgrade increased by 66.0% year-over-year, from $905.00M to $1.50B.
- What is the long-term trend for Bank of America's additional collateral required - two notch downgrade?
- Over 5 years (2020 to 2025), Bank of America's additional collateral required - two notch downgrade has grown at a 7.5% compound annual growth rate (CAGR), from $735.00M to $1.06B.
- What does additional collateral required - two notch downgrade mean?
- The extra cash or assets the bank must provide to partners if its credit rating drops by two levels.