Interest rate hikes by key central banks around the world and tightening credit conditions will put pressure on U.S. regional banks’ capital, credit quality, and profitability. Globally systemically important banks (G-SIBs) are benefiting from the diversity of business lines they have, as well as from the various sources of funding they can access. However, many regional banks, by definition, do not have the asset diversity and funding advantages that G-SIBs enjoy.