101227_wall_street_ap_605Goldman Sachs, JPMorgan and Citigroup are among the banks that have successfully completed trial runs using their own models to assess risk and capital requirements. However, Citi said in a statement that the Fed allowed it to use its own models only after insisting it changed its capital calculation. Under the new calculation agreed with the Fed, Citi’s assets increased by $56bn and its main capital ratio fell from 10.5 per cent to 10.1 per cent. The announcement by the Federal Reserve and the Office of the Comptroller of the Currency on Friday gives those banks clarity on what methods they can use to calculate their capital requirements. During the trial run, banks had to show they could comply with a more tailored approach to meeting capital requirements for four consecutive calendar quarters before they could officially rely on that method. More