The Federal Reserve made good on its promise to make this year’s stress tests the toughest yet, as Risk Quantum analysis shows that the median post-stress ratio was the lowest in five years. 

Under the severely adverse scenario, the median bank reported a post-stress minimum Common Equity Tier 1 (CET1) ratio of 7.9%, 20 basis points lower than in 2017 and the lowest across the last five years of stress tests for which public data is available. 

To pass the tests, a firm must report a post