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COREP Guidance COREP Terms & Definitions CONTACT US What is Tier 2 Capital?

What is Tier 2 Capital?


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What is Tier 2 Capital?

Tier 2 Capital consists of lower quality or less reliable capital reserves when compared to that within Tier 1 – and as such these items are considered less effective at absorbing any losses by a firm.

These supplementary funds include such items as: