Goldman, Morgan Stanley Face Stiffest Fed Capital Standards (1)

Goldman Sachs Group Inc., Morgan Stanley and several foreign lenders operating in the U.S. will face the stiffest capital demands under the Federal Reserve’s first set of big-bank requirements to incorporate the regulator’s new stress buffer.

The capital levels, determined by the Fed’s most recent stress-test process, give Goldman Sachs the highest target among domestic banks, with an overall capital minimum at 13.7% of risk-weighted assets, the agency said in a statement Monday. Morgan Stanley’s target is 13.4% and JPMorgan Chase & Co., the largest U.S. bank by assets, will have to maintain 11.3% under the standards taking ...