TLAC

Total Loss-Absorbing Capacity. International standard requiring G-SIBs to hold a layer of debt that can be "bailed in" (converted to equity) if the bank fails — without taxpayer bailout. Sits between deposits (protected) and equity (first-loss).

Aims to make G-SIBs resolvable. Has been tested in European bail-ins (Cyprus 2013, Banco Popular 2017) more than in the US.