Understanding bank equity trading books and VaR loss days

21 September 2026/No Comments
By Nick Dunbar

Facing heavy demand from clients to trade, the largest six US banks increased their trading book inventory in the second quarter without suffering negative consequences. After reporting eight regulatory value-at-risk exceptions in the first quarter, only Bank of America experienced a single breach of its VaR limit in Q2.

Source: FFIEC 102 market risk filings, compiled by Risky Finance.

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