[pishpash]

$1T of that is locked up in effectively mandatory reserves on account of regulations.

https://www.stlouisfed.org/on-the-economy/2019/march/banks-d...

[simonh]

Quite, these are not 'excess' reserves, they are just reserves.

[yasp]

So the implication is that banks are hoarding excess reserves because they expect required reserves to be increased substantially in the future?

Regarding high quality liquid assets, wouldn't the collateral one would receive in a typical repo transaction qualify as such?