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2026: Q4 SCOOS

Special Questions on Dealer Balance-Sheet Allocation to Treasury MarketMaking and Securities Financing
Continued growth in outstanding Treasury securities and episodes of elevated Treasury yield
volatility have underscored the importance of dealers’ balance sheet capacity available for
Treasury market intermediation. In these special questions, we ask about your institutions’
allocation of balance-sheet capacity for Treasury market intermediation activities, including
Treasury securities market-making and your provision of financing to clients collateralized by
Treasury securities. Questions 1–5 ask about your capacity allocation for Treasury securities
market-making and client demand. Questions 6–12 ask about your institution’s capacity to
provide financing collateralized by Treasury securities and demand for such financing, including
from your hedge fund clients.
Treasury Securities Inventory and Market Making Activities
1.

Since year-end 2025, how has your institution’s allocation of balance-sheet capacity to Treasury inventory and
market-making activities changed?
a)
b)
c)
d)
e)
f)

Increased considerably
Increased somewhat
Remained basically unchanged
Decreased somewhat
Decreased considerably
Not applicable, my institution does not materially engage in Treasury market making

2a. To the extent your institution's allocation of balance sheet capacity dedicated to Treasury inventory and
market-making activities has increased since year-end 2025, how important were each of the following
factors? (Select up to three factors, ranked by importance)
a)
b)
c)
d)
e)
f)
g)

Increased profitability of Treasury market-making
More favorable risk assessment of the Treasury market
Lower cost of funding for Treasury inventory
Less binding risk-based capital requirements
Less binding leverage ratio requirements
Less binding liquidity requirements
Other

2b. To the extent your institution's allocation of balance sheet capacity dedicated to Treasury inventory and
market-making activities has decreased since year-end 2025, how important were each of the following
factors? (Select up to three factors, ranked by importance)
a)
b)
c)
d)
e)
f)
g)
3.

Reduced profitability of Treasury market-making
Less favorable risk assessment of the Treasury market
Higher cost of funding for Treasury inventory
More binding risk-based capital requirements
More binding leverage ratio requirements
More binding liquidity requirements
Other

Since year-end 2025, how has demand from your institution’s clients and counterparties for Treasury marketmaking activities changed?

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a)
b)
c)
d)
e)
4.

Increased considerably
Increased somewhat
Remained basically unchanged
Decreased somewhat
Decreased considerably

Over the next year, how does your institution expect its allocation of balance-sheet capacity dedicated to
Treasury inventory and market-making activities to change?
a)
b)
c)
d)
e)

5.

2026: Q4 SCOOS

Increase considerably
Increase somewhat
Remain basically unchanged
Decrease somewhat
Decrease considerably

Over the next year, what do you expect to be the most important factors limiting your institution’s Treasury
inventory and market-making activities? (Select up to three factors, ranked by importance.)
a)
b)
c)
d)
e)
f)

Risk-based capital requirements
Leverage ratio requirements
Liquidity requirements
Availability of funding to your institution
Client demand levels
Other

Treasury Securities Financing Activities
6.

Since year-end 2025, how has your institution’s allocation of balance-sheet capacity dedicated to Treasury
securities financing (repo and reverse repo) for clients changed?
a)
b)
c)
d)
e)
f)

Increased considerably
Increased somewhat
Remained basically unchanged
Decreased somewhat
Decreased considerably
Not applicable, my institution does not materially engage in Treasury securities financing for clients

8a. To the extent your institution's allocation of balance sheet capacity dedicated to Treasury securities
financing for clients has increased since year-end 2025, how important were each of the following factors?
(Select up to three factors, ranked by importance)
a)
b)
c)
d)
e)
f)
g)
h)
i)

Increased profitability of Treasury securities financing
More favorable risk assessment of the Treasury market
Lower cost of funding for your institution
Less binding risk-based capital requirements
Less binding leverage ratio requirements
Less binding liquidity requirements
Less binding counterparty credit or concentration limits
Increased central clearing or balance sheet netting efficiency
Other

8b. To the extent your institution's allocation of balance sheet capacity dedicated to Treasury securities
financing for clients has decreased since year-end 2025, how important were each of the following factors?
(Select up to three factors, ranked by importance)

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a)
b)
c)
d)
e)
f)
g)
h)
i)
8.

Decreased profitability of Treasury securities financing
Less favorable risk assessment of the Treasury market
Increased cost of funding for your institution
More binding risk-based capital requirements
More binding leverage ratio requirements
More binding liquidity requirements
More binding counterparty credit or concentration limits
Decreased central clearing or balance sheet netting efficiency
Other

Since year-end 2025, how has demand from your institution’s non-hedge fund clients and counterparties for
Treasury securities financing changed?
a)
b)
c)
d)
e)

9.

2026: Q4 SCOOS

Increased considerably
Increased somewhat
Remained basically unchanged
Decreased somewhat
Decreased considerably

Since year-end 2025, how has demand from hedge fund clients and counterparties for Treasury securities
financing changed?
a)
b)
c)
d)
e)

Increased considerably
Increased somewhat
Remained basically unchanged
Decreased somewhat
Decreased considerably

10. Since year-end 2025, in which strategies have your hedge fund clients increased demand for Treasury securities
financing? (Select up to three strategies, ranked by importance)
a)
b)
c)
d)
e)

Cash-futures basis trades
Swap-spread trades
Curve relative-value trades
Other fixed-income relative-value strategies
Other

11. Since year-end 2025, in which strategies have your hedge fund clients decreased their demand for Treasury
securities financing? (Select up to three strategies, ranked by importance)
a)
b)
c)
d)
e)

Cash-futures basis trades
Swap-spread trades
Curve relative-value trades
Other fixed-income relative-value strategies
Other

12. Over the next year, how does your institution expect its allocation of balance-sheet capacity dedicated to
Treasury securities financing for clients to change?
a)
b)
c)
d)
e)

Increase considerably
Increase somewhat
Remain basically unchanged
Decrease somewhat
Decrease considerably

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2026: Q4 SCOOS

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