File - A customer enters the Wells Fargo bank branch in Golden, Colorado October 11, 2013. REUTERS/Rick Wilking
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Wells Fargo, State Street and JPMorgan Chase & Co are below or almost at minimum capital thresholds expected to be included in a rule still being hammered out by U.S. regulators to mitigate taxpayer losses in another financial crisis.Wells Fargo's loss-absorbing capital stood at 17 percent at the end of last year, State Street's was 18.2 percent and JPMorgan stood at 19.1 percent, according to a Reuters analysis of eight banks, based on regulatory filings and methodology recently presented by Citigroup.The European Union wants banks' loss-absorbing capital to stand at about 18 percent of the balance sheet, and analysts believe that the Fed will come up with a similar number, somewhere between 18 percent and 25 percent.One of the reasons that Wells Fargo is behind some of the other banks is that it has traditionally relied on client deposits for funding, and simply did not need to borrow money from other banks or from investors.
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