Key facts
- Bank of America's Level 2A HQLAs increased to $57.5 billion in the second quarter.
- This is a more than threefold increase from $15.4 billion in the first quarter.
- Level 2A assets are subject to a 15% haircut.
- The share of Level 2A assets in the bank's liquidity buffer is at a three-year high.
Bank of America significantly increased its holdings of Level 2A high-quality liquid assets (HQLAs) during the second quarter, more than tripling them to $57.5 billion from $15.4 billion in the previous quarter. This surge has elevated the proportion of these slightly less liquid assets within the bank's overall liquidity buffer to its highest point in three years. Level 2A assets, while considered high-quality, are subject to a 15% haircut due to their reduced liquidity.