Supplementary or Tier 2 capital does not include:
A) hybrid capital instruments
B) intermediate-term preferred stock
C) cumulative perpetual preferred stock
D) long-term preferred stock
E) noncumulative perpetual preferred stock

Question

Quizplus · Accepted Answer

Noncumulative perpetual preferred stock is typically considered part of Tier 1 capital, not Tier 2 capital. Tier 2 capital includes instruments like hybrid capital instruments, intermediate-term preferred stock, cumulative perpetual preferred stock, and long-term preferred stock.

Supplementary or Tier 2 Capital Does Not Include