The quarterly average regulatory equity value-at-risk across eight major US banks reached $669.9 million in Q2 2026, the highest since Q4 2020. Goldman Sachs, Morgan Stanley, and JP Morgan led the surge, while Citi showed an unusual negative reading.
Rising equity value-at-risk suggests that the largest US banks are taking on more risk in their trading portfolios, potentially indicating increased market volatility or a shift in risk appetite. This could have implications for financial stability and regulatory capital requirements.
The aggregate regulatory equity value-at-risk (VAR) across the eight largest US global systemically important banks (G-Sibs) climbed to $669.9 million on a quarterly average basis in the second quarter of 2026. This represents the highest level observed since the fourth quarter of 2020, when the combined VAR was $692 million. The figures provided do not include the multiplier used to determine capital requirements based on VAR. Among the leading institutions, Goldman Sachs, Morgan Stanley, and JP Morgan were noted for experiencing a significant increase in their equity VAR. In contrast, Citigroup bucked this trend by reporting an unusual negative reading.