Australian bank stocks and today's reports on capital requirements and dividends

CMC Markets

The Australian Financial Review carried a story today reporting that the regulator (APRA) might impose higher capital requirements on the large systemically important banks than was previously expected. This might mean the big 4 banks + Macquarie are required to retain more capital than thought. APRA has reportedly cautioned banks against paying dividends that are too high including special or extra dividends. After a stellar run this might dampen expectations on bank dividend growth until final details on the capital requirements for these large banks are agreed