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Regulatory Capital
 12 Months Ended
Dec. 31, 2024
Banking and Thrift, Other Disclosure [Abstract]  
Regulatory Capital Regulatory Capital
We are subject to various regulatory capital requirements administered by federal banking agencies. Failure to meet minimum regulatory capital requirements can initiate certain mandatory and discretionary actions by regulators that, if undertaken, could have a direct material effect on our consolidated financial condition. Under current regulatory capital adequacy guidelines, we must meet specified capital requirements that involve quantitative measures of our consolidated assets, liabilities and off-balance sheet exposures calculated in conformity with regulatory accounting practices. Our capital components and their classifications are subject to qualitative judgments by regulators about components, risk weightings and other factors.
As required by the Dodd-Frank Act, we and State Street Bank, as advanced approaches banking organizations, are subject to a “capital floor” in the calculation and assessment of regulatory capital adequacy by the U.S. Agencies. Beginning on January 1, 2015, we were required to calculate our risk-based capital ratios using both the advanced approaches and the standardized approach. As a result, from January 1, 2015 going forward, our risk-based capital ratios for regulatory assessment purposes are the lower of each ratio calculated under the standardized approach and the advanced approaches.
As of December 31, 2024, we and State Street Bank exceeded all regulatory capital adequacy requirements to which we were subject. As of December 31, 2024, State Street Bank was categorized as “well capitalized” under the applicable regulatory capital adequacy framework, and exceeded all “well capitalized” ratio guidelines to which it was subject. Management believes that no conditions or events have occurred since December 31, 2024 that have changed the capital categorization of State Street Bank.
The following table presents the regulatory capital structure, total RWA, related regulatory capital ratios and the minimum required regulatory capital ratios for us and State Street Bank as of the dates indicated.
State Street Corporation
State Street Bank
(Dollars in millions)Basel III Advanced Approaches December 31, 2024Basel III Standardized Approach December 31, 2024Basel III Advanced Approaches December 31, 2023Basel III Standardized Approach December 31, 2023Basel III Advanced Approaches December 31, 2024Basel III Standardized Approach December 31, 2024Basel III Advanced Approaches December 31, 2023Basel III Standardized Approach December 31, 2023
 Common shareholders’ equity:
Common stock and related surplus$11,226 $11,226 $11,245 $11,245 $13,333 $13,333 $13,033 $13,033 
Retained earnings29,582 29,582 27,957 27,957 15,977 15,977 14,454 14,454 
Accumulated other comprehensive income (loss)(2,100)(2,100)(2,354)(2,354)(1,805)(1,805)(2,097)(2,097)
Treasury stock, at cost(16,198)(16,198)(15,025)(15,025)— — — — 
Total22,510 22,510 21,823 21,823 27,505 27,505 25,390 25,390 
Regulatory capital adjustments:
Goodwill and other intangible assets, net of associated deferred tax liabilities(8,320)(8,320)(8,470)(8,470)(8,054)(8,054)(8,208)(8,208)
Other adjustments(1)
(391)(391)(382)(382)(278)(278)(298)(298)
 Common equity tier 1 capital13,799 13,799 12,971 12,971 19,173 19,173 16,884 16,884 
Preferred stock2,816 2,816 1,976 1,976 — — — — 
 Tier 1 capital16,615 16,615 14,947 14,947 19,173 19,173 16,884 16,884 
Qualifying subordinated long-term debt1,861 1,861 1,870 1,870 530 530 536 536 
Adjusted allowance for credit losses— 183 — 150 — 183 — 150 
 Total capital$18,476 $18,659 $16,817 $16,967 $19,703 $19,886 $17,420 $17,570 
 Risk-weighted assets:
Credit risk(2)
$63,252 $124,281 $61,210 $109,228 $57,883 $121,785 $54,942 $107,067 
Operational risk(3)
49,350  NA43,768 NA47,538 NA42,297 NA
Market risk2,000 2,000 2,475 2,475 2,000 2,000 2,475 2,475 
Total risk-weighted assets$114,602 $126,281 $107,453 $111,703 $107,421 $123,785 $99,714 $109,542 
Adjusted quarterly average assets$318,470 $318,470 $269,807 $269,807 $314,754 $314,754 $266,818 $266,818 
Capital Ratios:
2024 Minimum Requirements(4)
2023 Minimum Requirements(4)
Common equity tier 1 capital8.0 %8.0 %12.0 %10.9 %12.1 %11.6 %17.8 %15.5 %16.9 %15.4 %
Tier 1 capital9.5 9.5 14.5 13.2 13.9 13.4 17.8 15.5 16.9 15.4 
Total capital11.5 11.5 16.1 14.8 15.7 15.2 18.3 16.1 17.5 16.0 
Tier 1 leverage(5)
4.0 4.0 5.2 5.2 5.5 5.5 6.1 6.1 6.3 6.3 
(1) Other adjustments within CET1 capital primarily include disallowed deferred tax assets, cash flow hedges that are not recognized at fair value on the balance sheet, and the overfunded portion of our defined benefit pension plan obligation net of associated deferred tax liabilities.
(2) Under the advanced approaches, credit risk RWA includes a CVA which reflects the risk of potential fair value adjustments for credit risk reflected in our valuation of OTC derivative contracts. We used a simple CVA approach in conformity with the Basel III advanced approaches.
(3) Under the current advanced approaches rules and regulatory guidance concerning operational risk models, RWA attributable to operational risk can vary substantially from period-to-period, without direct correlation to the effects of a particular loss event on our results of operations and financial condition and impacting dates and periods that may differ from the dates and periods as of and during which the loss event is reflected in our financial statements, with the timing and categorization dependent on the processes for model updates and, if applicable, model revalidation and regulatory review and related supervisory processes. An individual loss event can have a significant effect on the output of our operational RWA under the advanced approaches depending on the severity of the loss event and its categorization among the seven Basel-defined UOMs.
(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%. On June 26, 2024, we were notified by the Federal Reserve of the results from the 2024 supervisory stress test. Our SCB calculated under the 2024 supervisory stress test was well below the 2.5% minimum, resulting in an SCB at that floor, which remains in effect for the period from October 1, 2024 through September 30, 2025.
(5) State Street Bank is required to maintain a minimum Tier 1 leverage ratio of 5% as it is the insured depository institution subsidiary of State Street Corporation, a U.S. G-SIB.
NA Not applicable