= WFC continues to make progress on regulatory compliance. As of 3Q, WFC’s current total loss absorbing capacity (TLAC) shortfall was 2.1% of risk weighted assets or $29bn ($43bn including its internal buffer), an S8bn QoQ improvement. That said, Mr Blinde assured investors that WFC will continue to focus on deposit growth (66% of total funding) even as its long-term debt needs continue. WFC is compliant with the liquidity coverage ratio (LCR). = Potential changes to annual stress test process viewed as positive. Mr. Blinde noted that potential changes to the annual stress test process, as proposed by Gov. Tarullo in Sept., is a “real” positive, specifically as it reduces any variance between how the stressed risk weighted asset balance is calculated. This is likely positive for the majority of investors polled (31%) who think capital return is the biggest catalyst for the stock and the (70%) who see the dividend payout growing towards the 40-50% range long-term (currently 37%). Chart 49: What do you think is the biggest catalyst for WFC shares over the next 12-24 months? 35% 31% 30% 24% 25% 21% 20% 14% 15% ° 10% 10% 5% 0% Better clarity Deliveringclean Achieving solid Renewed focus on Accelerating around the full § andconsistent revenue growth expense capital return, with impact of the sales earnings results regardless of the managementto — focus on the practices issue close to or better rate environment drive the efficiency dividend than current ratio lower consensus Source: BofA Merrill Lynch Global Research Chart 50: As a result, what do you think WFC's long-term dividend payout ratio will be? 0, ai 35% 35% 35% 30% 20% 20% 16% 45% 14% 10% 5% 0% Near the current level 40-45% 45-50% >50% of 37% Source: BofA Merrill Lynch Global Research = Note: WFC is scheduled to report October customer activity in Retail Banking on Thur, Nov. 17th at 9am ET. Zions Bancorporation (ZION), C-3-7, Underperform = Sentiment post-election appears constructive on growth prospects. Cons