Supplemental Public Disclosure of Basel III Regulatory Capital (03/31/2026 00: 00

Published: 2026-05-08 13:25:10 ET STT

Published on 05/08/2026 at 01:25 pm EDT

SUPPLEMENTAL PUBLIC DISCLOSURE BASEL III REGULATORY CAPITAL

AS OF MARCH 31, 2026

INDEX OF TABLES 4

BASEL III DISCLOSURE MAP 5

GENERAL 6

FORWARD-LOOKING STATEMENTS 6

REGULATION AND SUPERVISION 7

Regulatory Developments 7

Regulatory Restrictions 8

REGULATORY CAPITAL 8

Regulatory Capital Requirements 8

Regulatory Capital Structure 10

Supplementary Leverage Ratio 11

Regulatory Capital Instruments 13

Total Risk-Weighted Assets 15

Governance and Structure 16

Agency Credit Ratings 16

Credit Ratings 19

Credit Risk Mitigation 19

Credit Limits 21

Advanced Internal Ratings-Based Approach 21

Impairment Analysis and Allowance for Credit Losses 25

Credit Risk Monitoring 31

Significant Accounting Policies 33

Significant Accounting Policies 34

Trading Activities 35

The advanced internal ratings-based approach to calculating risk-based capital requirements for credit risk and the advanced measurement approach to calculating risk-based capital requirements for operational risk under the Basel III final rule

A banking organization subject to the advanced approaches requirements of the Basel III final rule

Credit Committee

Parent Company

State Street Corporation withou consolidation of its subsidiaries

CCB

Capital Conservation Buffer

PD(1)

Probability of Default

CCF(1)

Credit Conversion Factor

P&L

Profit-and-loss

CET1

Common Equity Tier 1

Risk Committee

CLO

Collateralized Loans Obligations

RWA(1)

Risk-Weighted Assets

Credit Risk

is expected to be passed on to client interest-bearing accounts, on average

Dodd-Frank Wall Street Reform and Consumer Protection Act

the Basel III final rule

GAAP

Generally Accepted Accounting Principles

UOM

Unit of Measure

GCR

Global Credit Review group

VaR

Value-at-Risk

GCF

Global Credit Finance

G-SIB

Global Systemically Important Bank

ERM Enterprise Risk Management SSFA(1) Simplified Supervisory Formula Approach in

eSLR

Enhanced Supplementary Leverage Ratio

State Street

State Street Corporation and its subsidiaries on a consolidated basis

EVE

Economic Value of Equity

State Street Bank

State Street Bank and Trust Company

FDIC

Federal Deposit Insurance Corporation

Stressed VaR

Stressed Value-at-Risk

Federal Reserve

Board of Governors of the Federal Reserve System

TLAC

Total Loss-Absorbing Capacity

FFELP

Federal Family Education Loan Program

TMC

Trading Methodology Committee

FSB

Financial Stability Board

TMRC

Trading and Market Risk Committee

Foreign Exchange

TORC

Technology and Operational Risk Committee

(1) As defined by the applicable U.S. regulations.

Table 1

Regulatory Capital Structure and Related Regulatory Capital Ratios

Table 2

Supplementary Leverage Ratio

Table 3

Total Loss-Absorbing Capacity

Table 4

Regulatory Capital Instruments

Table 5

Preferred Stock

Table 6

Components of Total Risk-Weighted Assets

Table 7

General Masterscale

Table 8

Allowance for Credit Losses

Table 9

Wholesale Credit Risk Exposure at Default

Table 10

Wholesale Credit Risk Exposure at Default - Geographic Mix

Table 11

Wholesale Credit Risk Exposure at Default - Counterparty Type

Table 12

Wholesale Credit Risk Exposure at Default - Remaining Contractual Maturity

Table 13

Wholesale Credit Risk Exposure - Probability of Default

Table 14

Over-the-Counter (OTC) Derivative Contracts

Table 15

Reverse Repurchase and Repurchase Agreements

Table 16

Indemnified Agency Lending and Prime Services

Table 17

Eligible Margin Loans

Table 18

Securitization Exposures

Table 19

Securitization Exposures - Range of Risk Weights

Table 20

Equity Exposures

Table 21

Ten-Day Value-at-Risk Associated with Trading Activities for Covered Positions

Table 22

Ten-Day Stressed Value-at-Risk Associated with Trading Activities for Covered Positions

Table 23

Ten-Day Value-at-Risk Associated with Trading Activities by Risk Factor

Table 24

Ten-Day Stressed Value-at-Risk Associated with Trading Activities by Risk Factor

Table 25

Key Interest Rates for Baseline Forecasts

Table 26

Net Interest Income Sensitivity

The table below highlights where sections of this Public Disclosure can be referenced to in State Street's March 31, 2026 Form 10-Q and December 31, 2025 Form 10-K.

General Overview 4 4

Forward-Looking Statements

Regulation and Overview

33-34

9-10

Supervision Regulatory Developments

10-14

Overview

33-34

105-106

Regulatory Capital Components of Regulatory Capital

107

Supplementary Leverage Ratio

109

Regulatory Capital Instruments

111-112

Risk Management Overview

25-26

80-81

Credit Risk Core Policies and Principles

Impairment Analysis and ACL

Operational Risk Overview

Overview

Market Risk

Interest-Rate Risk for Non-Trading Activities

Value-at-Risk, Stressed Value-at-Risk and Stress

Testing 29-30 97-99

Asset-and-Liability Management Activities 32 101-102

Net Interest Income 32 101-102

State Street Corporation, referred to as the Parent Company, was organized in 1969 under the laws of the Commonwealth of Massachusetts, and is a bank holding company (BHC) that has elected to be treated as a financial holding company under the Bank Holding Company Act of 1956. For purposes of this Public Disclosure, unless the context requires otherwise, references to "State Street," "we," "us," "our" or similar terms mean State Street Corporation and its subsidiaries on a consolidated basis. The Parent Company is a source of financial and managerial strength to our subsidiaries. Through our subsidiaries, including our principal banking subsidiary, State Street Bank and Trust Company, referred to as State Street Bank, we operate in more than 100 geographic markets worldwide, providing a broad range of financial products and services to institutional investors globally.

The Public Disclosure provided herein is required by the Basel III regulatory capital rules issued by the Board of Governors of the Federal Reserve System, referred to as the Federal Reserve, which we refer to as the Basel III final rule. This Public Disclosure provides qualitative and quantitative information about regulatory capital, calculated in conformity with the advanced approaches provisions (and the standardized approach provisions, as applicable) of the Basel III final rule, for State Street and, where applicable, State Street Bank, as of March 31, 2026.

‌We expect to update this Public Disclosure on a quarterly basis and make it available on the "Investor Relations" section of our corporate website, https://www.statestreet.com. The information presented in this Public Disclosure may not be consistent with Generally Accepted Accounting Principles (GAAP), and may differ, in presentation, form or otherwise, from similar information, or disclosures on similar topics, provided in our Securities and Exchange Commission (SEC) filings. In addition, the information provided in this Public Disclosure may also differ from, and may not be comparable to, similar disclosures made by other banking organizations. The information provided in this Public Disclosure is not required to be, and has not been, audited by our independent registered public accounting firm.

The regulatory capital ratios as of March 31, 2026 presented in this Public Disclosure are calculated under the advanced approaches and standardized approach in conformity with the Basel III final rule as well as the final rules implementing the Supplementary Leverage Ratio (SLR). The advanced approaches-based ratios reflect calculations and determinations with respect to our capital and related matters as of March 31, 2026, based on our internal and external data, quantitative formulae, statistical models, historical correlations and assumptions,

effect and used by us for those purposes as of the time we first reported such ratios in a quarterly report on Form 10-Q or an annual report on Form 10-K. Significant components of these advanced systems involve the exercise of judgment by us and our regulators, and our advanced systems may not, individually or collectively, precisely represent or calculate the scenarios, circumstances, outputs or other results for which they are designed or intended.

Due to the influence of changes in these advanced systems, whether resulting from changes in data inputs, regulation or regulatory supervision or interpretation, specific to us or market activities or experiences or other updates or factors, we expect that our advanced systems and our capital ratios calculated in conformity with the Basel III final rule will change and may be volatile over time, and that those latter changes or volatility could be material as calculated and measured from period to period.

Models implemented under the Basel III final rule, particularly those implementing the advanced approaches, remain subject to regulatory review and approval. The full effects of the Basel III final rule on State Street and State Street Bank are therefore subject to further evaluation and also to further regulatory guidance, action or rule-making.

We use acronyms and other defined terms for certain business terms and abbreviations which are defined in the Glossary of this Public Disclosure.

The disclosures provided within this document should be read in conjunction with our 2025 Form 10-K and Q1 2026 Form 10-Q, which can be found on our corporate website at https://www.statestreet.com.

This Public Disclosure, as well as other reports and proxy materials submitted by us under the Securities Exchange Act of 1934, registration statements filed by us under the Securities Act of 1933, our annual report to shareholders and other public statements we may make, may contain statements (including statements in our Management's Discussion and Analysis included in such reports, as applicable) that are considered "forward-looking statements" within the meaning of

U.S. securities laws, including statements about our goals and expectations regarding our business, financial and capital condition, results of operations, strategies, cost savings and transformation initiatives, investment portfolio performance, dividend and stock purchase programs, acquisitions, outcomes of legal proceedings, market growth, joint ventures and divestitures, client growth, new technologies, services and opportunities, sustainability and impact, human capital and climate, as well as industry, governmental, regulatory, economic and market trends, initiatives and developments, the business environment and other matters that do not relate strictly to historical

uncertainties to which forward-looking statements are subject, refer to our 2025 Form 10-K and our Q1 2026 Form 10-Q.

The Basel III rule provides two frameworks for monitoring capital adequacy: the "standardized approach" and the "advanced approaches", applicable to advanced approaches banking organizations, like us. The standardized approach prescribes standardized calculations for credit risk RWA, including specified risk weights for on and certain off-balance sheet exposures. The advanced approaches consist of the Advanced Internal Ratings-Based Approach (AIRB) used for the calculation of credit risk RWA, and the Advanced Measurement Approach (AMA) used for the calculation of operational risk RWA.

‌As required by the Dodd-Frank Act enacted in 2010, we and State Street Bank, as advanced approaches banking organizations, are subject to a "capital floor," also referred to as the Collins Amendment, in the assessment of our regulatory capital adequacy, such that our risk-based capital ratios for regulatory assessment purposes are the lower of each ratio calculated under the advanced approaches and the standardized approach.

Under the advanced approaches, we and State Street Bank are subject to a 2.5% Capital Conservation Buffer (CCB) requirement, plus any applicable countercyclical capital buffer requirement, which is currently set at 0%. Under the standardized approach, State Street Bank is subject to the same CCB and countercyclical capital buffer requirements, but for State Street, the 2.5% CCB requirement is replaced by the Stress Capital Buffer (SCB) requirement according to the SCB final rule issued in 2020. In addition, State Street is subject to a G-SIB surcharge.

The SCB replaced, under the standardized approach, the CCB with a buffer calculated as the difference between the institution's starting and lowest projected Common Equity Tier 1 (CET1) ratios under the DFAST severely adverse scenario plus planned common stock dividend payments (as a percentage of RWA) from the fourth through seventh quarter of the DFAST planning horizon. The SCB requirement can be no less than 2.5% of RWA. Breaching the SCB or other regulatory buffer or surcharge will limit a banking organization's ability to make capital distributions and discretionary bonus payments to executive officers.

Our SCB requirement remains at 2.5% for the period from October 1, 2025, through September 30, 2026, based on the results of the 2025 supervisory stress test. Additionally, in February 2026 the Federal

requirements until 2027.

Our current G-SIB surcharge is 1.0% and based upon calculations using data as of December 31, 2025, our surcharge will remain at 1.0% through December 31, 2027.

Our minimum risk-based capital ratios as of January 1, 2026 include a CCB of 2.5% and a SCB of 2.5% for the advanced approaches and standardized approach, respectively, a G-SIB surcharge of 1.0%, and a countercyclical buffer of 0.0%. This results in minimum risk-based ratios of 8.0% for the CET1 capital ratio, 9.5% for the tier 1 capital ratio, and 11.5% for the total capital ratio.

Failure to meet these minimum requirements would result in restriction on capital distributions and certain discretionary bonus payments based on a percentage of State Street's eligible retained income. We calculate eligible retained income as the greater of (i) net income for the four preceding quarters, net of any distributions and associated tax effects not already reflected in net income, and (ii) the average of net income over the four preceding quarters. As of March 31, 2026, the eligible retained income for State Street was $766 million. For more information, refer to our 2025 Form 10-K and our Q1 2026 Form 10-Q.

In April 2025, the Federal Reserve issued a proposed rule to reduce volatility in the SCB requirement, primarily through the averaging of the decline in a firm's CET1 capital over a two-year horizon (current and prior year). The proposal would also extend the annual effective date of each firm's SCB requirement by one quarter, from October 1 to January 1. The proposal was intended to be effective as of the 2025 stress testing cycle, but has yet to be finalized. We do not expect the proposal to materially impact our SCB requirement, which is currently at the 2.5% floor.

In October 2025, the Federal Reserve proposed revisions to its supervisory stress testing framework through two related proposals designed to enhance the transparency and public accountability of its annual stress test. The first proposal solicits comments on the Federal Reserve's stress test models, scenario design framework and an enhanced disclosure process under which the Federal Reserve would annually publish and invite public comment on stress test scenarios, models and material changes to those models. The second proposal solicits comments on the scenarios for the 2026 supervisory stress test. In February 2026, the Federal Reserve adopted the proposed 2026 scenarios largely as proposed, including the models used to generate the final 2026 scenarios.

On November 25, 2025, the U.S. Agencies jointly adopted a final rule (eSLR Final Rule) amending the calibration of the eSLR for U.S. G-SIBs

‌and their Insured Depository Institution (IDI) subsidiaries. The final rule is effective April 1, 2026, with the option for firms to adopt the modified standards early, effective January 1, 2026. We adopted the modified standards effective January 1, 2026. The final rule replaces the prior Enhanced Supplementary Leverage Ratio (eSLR) buffer of 2% at the holding company and 3% at State Street Bank (for State Street Bank to be considered "well capitalized"), with an eSLR buffer for both bank holding companies and IDI subsidiaries calibrated at 50% of a G-SIB's Method 1 capital surcharge, with the buffer for IDI subsidiaries capped at 1% (and no longer part of the definition of "well capitalized"). Conforming changes were also made to the Total Loss-Absorbing Capacity (TLAC) and Long-Term Debt (LTD) requirements.

‌The eSLR Final Rule is not expected to materially impact our total leverage-based capital, which already benefits from the custody bank exemption for central bank placements in the SLR denominator pursuant to Section 402 of the Economic Growth Act (January 2020). Changes to the TLAC and LTD requirement may have limited implications for us, but, are not expected to change our management of TLAC or LTD.

‌In March 2026, the U.S. Agencies issued two proposed rules to revise the U.S. regulatory capital framework for large banks. The first proposed rule would, among other things, remove the existing standardized and advanced approaches methodologies and replace them with a single expanded risk-based approach that includes new standardized calculations for credit risk, operational risk, market risk, and credit valuation adjustment risk (ERBA Proposal). The second proposed rule would, among other things, recalibrate the coefficients in the Method 2 G-SIB surcharge to reflect the economy and other recent changes in the financial system, adjust the weighting of the short-term whole funding systemic indicator, and "reduce cliff effects" of the G-SIB surcharge by replacing the existing 0.5% capital increments with increments of 0.1% (G-SIB Surcharge Proposal). Both proposals seek comment by June 18, 2026, and based on our preliminary assessment, we currently expect the proposed changes to be beneficial to our overall RWA; however, any estimate of the potential impact of the ERBA Proposal and the G-SIB Surcharge Proposal is subject to uncertainty, as actual results may differ materially from our preliminary estimates and by potential changes to each Proposal, when adopted in final form. In addition, anticipated results may be affected by a range of factors, including business performance, future capital actions, the results of future supervisory stress tests and supervisory interpretations (including changes in interpretations). No timeline for final implementation has been disclosed.

For additional information about regulatory developments, refer to our 2025 Form 10-K and our Q1 2026 Form 10-Q.

Our and State Street Bank's primary federal banking regulator in the U.S. is the Federal Reserve. Federal banking regulations place certain restrictions on dividend payments by banking subsidiaries to their parent company. The Federal Reserve has the authority to prohibit or to limit dividend payments by the banking organizations it supervises, including us and State Street Bank, if, in the Federal Reserve's opinion, the payment of such a dividend would constitute an unsafe or unsound practice in light of the financial condition of the banking organization. All of these policies and other requirements could affect our ability to declare dividend payments and repurchase our common stock, or require us to provide capital assistance to State Street Bank and/or any other banking subsidiary. For more information, refer to our 2025 Form 10-K and our Q1 2026 Form 10-Q.

Our objective with respect to regulatory capital management is to maintain a capital base and structure that is sized to support our unique business model and material risks. Our strong capital position provides us the financial flexibility to meet our business needs, including maintaining access to financial markets to support our clients' activity and to fund corporate growth, and to provide protection against loss to depositors and creditors. We strive to maintain an appropriate level of capital, commensurate with our risk profile, on which an appropriate return to shareholders is expected to be realized over both the short- and long-term, while protecting our obligations to depositors and creditors and complying with regulatory capital adequacy requirements. For more information, refer to our 2025 Form 10-K and our Q1 2026 Form 10-Q.

Under the Basel III rule, our total regulatory capital is composed of three tiers: CET1 capital, Tier 1 capital (which includes CET1 capital), and Tier 2 capital. The total of Tier 1 and Tier 2 capital, adjusted as applicable, is referred to as total regulatory capital.

CET1 capital is composed of core capital elements, such as qualifying common shareholders' equity and related surplus plus retained earnings and the cumulative effect of foreign currency translation plus net unrealized gains (losses) on debt and equity securities classified as Available-for-Sale (AFS), less treasury stock and less goodwill and other intangible assets, net of related deferred tax liabilities. Tier 1 capital is composed of CET1 capital plus additional Tier 1 capital instruments which, for us, includes four series of preferred equity outstanding as of March 31,

2026. Tier 2 capital includes certain eligible subordinated long-term debt instruments. Total regulatory capital consists of Tier 1 capital and Tier 2 capital.

Certain other items, if applicable, must be deducted from Tier 1 and Tier 2 capital, including certain investments in the capital of unconsolidated banking, financial and insurance entities and the amount of expected credit losses that exceeds recorded allowances for loan and other credit losses. Expected credit losses are calculated for wholesale credit exposures by formula in conformity with the Basel III rule.

The CET1 risk-based capital ratio is a principal measure of capital adequacy for internationally active banking organizations. Under the Basel III framework, the ratio compares a banking organization's CET1 capital with the sum of its total Risk-Weighted Assets (RWA) associated with credit risk, operational risk and market risk. In conformity with the Basel III final rule, we calculate our required capital and total RWA associated with credit risk, operational risk and market risk primarily through the use of internal models.

As an advanced approaches banking organization in the U.S., we are required by the Basel

III final rule to apply the AIRB approach in the calculation of our RWA related to credit risk. We calculate RWA for over 90% of our on- and off-balance sheet exposures associated with credit risk using internal risk-rating models under the AIRB approach.

The AIRB approach categorizes credit exposures into five types for the calculation of RWA:

Wholesale

Securitizations

Equity

Retail

All Other

Our credit exposures fall predominantly into the "wholesale" categories. We have no credit exposures in the "retail" category. The "all other" category consists of exposures not categorized as any of the other types listed above, as well as any credit exposures defined by us as "non-material," where we do not apply the AIRB approach to calculate related RWA. As required by the Basel III final rule, RWA for the above-described categories are aggregated and multiplied by a scaling factor of 1.06.

As an advanced approaches banking organization in the U.S., we are required by the Basel III final rule to apply the AMA in the calculation of our RWA related to operational risk. Additional information about our process to manage operational risk and quantify required operational risk capital and RWA is provided under "Operational Risk" in this Public Disclosure.

We calculate our RWA related to market risk associated with our trading activities based on our measures of Value-at-Risk (VaR) and stressed VaR in conformity with the requirements of the final market risk capital rule. Additional information about the market risk associated with our trading activities and our related VaR and stressed-VaR measures is provided under "Market Risk" in this Public Disclosure.

‌The following table presents the regulatory capital structure, total RWA and related risk-based capital ratios for State Street and State Street Bank, calculated under the advanced approach and the standardized approach provisions of the Basel III final rule as of the date indicated:

Common stock and related surplus

$ 11,205

$ 13,333

Retained earnings

31,864

16,418

Accumulated other comprehensive income (loss)

(1,282)

(1,040)

Treasury stock, at cost

(17,604)

Total

24,183

28,711

Regulatory capital adjustments:

Goodwill and other intangible assets, net of associated deferred tax liabilities

(8,845)

(8,242)

Other adjustments

(540)

(404)

Common equity tier 1 capital

14,798

20,065

Preferred stock

3,559

Tier 1 capital

18,357

20,065

Qualifying subordinated longterm debt

1,698

523

Adjusted Allowance for Credit Losses

179

Total capital(1)

$ 20,085

$ 20,234

$ 20,618

$ 20,767

Risk-weighted assets(2)

Credit risk(3)

$ 65,126 $ 137,626

$ 60,963

$ 134,313

Operational risk

51,000 NA

49,988

Market risk

2,185 2,185

2,185

Total

$ 118,311 $ 139,811

$ 113,136

$ 136,498

Capital Ratios:

Minimum Requirement(4)

Common equity tier 1 capital

8.0 %

12.5 %

10.6 %

17.7 %

14.7 %

Tier 1 capital

9.5

15.5

13.1

17.7

14.7

Total capital

11.5

17.0

14.5

18.2

15.2

(1) As of March 31, 2026, State Street has one insurance subsidiary, which has a surplus capital of $350 million that is included in the total capital of the consolidated group.

(2) Refer to "Table 6: Components of Total Risk-Weighted Assets" for details.

(3) Under the advanced approaches, credit risk RWA includes a CVA which reflects the risk of potential fair value adjustments for credit risk in our valuation of Over-the-counter derivative contract (OTC derivative) contracts. We use the simple CVA approach in conformity with the Basel III advanced approaches.

(4) Minimum requirements include a CCB of 2.5% and a SCB of 2.5% for the advanced approaches and the standardized approach, respectively, a G-SIB surcharge of 1.0% and a countercyclical buffer of 0%. Our SCB requirement remains at 2.5% for the period from October 1, 2025, through September 30, 2026, based on the results of the 2025 supervisory stress test. Additionally, in February 2026 the Federal Reserve Board voted to maintain the current SCB requirements until 2027.

NA Not applicable

Disclaimer

State Street Corporation published this content on May 08, 2026, and is solely responsible for the information contained herein. Distributed via Public Technologies (PUBT), unedited and unaltered, on May 08, 2026 at 17:24 UTC.