Morgan Stanley 2015 Annual Report Download - page 94

RWAs and Regulatory Capital Ratios under the U.S. Basel III Advanced Approach Transitional Rules.
At December 31, 2015 At December 31, 2014
(dollars in millions)
RWAs:
Credit risk ........................................................... $ 173,586 $ 184,645
Market risk .......................................................... 71,476 121,363
Operational risk ....................................................... 139,100 150,000
Total RWAs ......................................................... $ 384,162 $ 456,008
Capital ratios:
Common Equity Tier 1 ratio ............................................. 15.5% 12.6%
Tier 1 capital ratio ..................................................... 17.4% 14.1%
Total capital ratio ..................................................... 20.7% 16.4%
Tier 1 leverage ratio(1) ................................................. 8.3% 7.9%
Adjusted average assets(2) .............................................. $ 803,574 $ 810,524
(1) Tier 1 leverage ratios are calculated under U.S. Basel III Standardized Approach transitional rules.
(2) Beginning with the first quarter of 2015, in accordance with U.S. Basel III, adjusted average assets represent the denominator of the Tier 1 leverage ratio and are
composed of the average daily balance of consolidated on-balance sheet assets under U.S. GAAP during the calendar quarter, adjusted for disallowed goodwill,
transitional intangible assets, certain deferred tax assets, certain investments in the capital instruments of unconsolidated financial institutions and other
adjustments.
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