Bank Leumi: the capital build is finished and the return is not priced

The economics turn on the regulatory capital constraint. Above the required ratio plus buffer, retained earnings have no productive use inside the bank, so they are returned; below it, they are trapped. Capital is the cleanest number here. The bank finished above its required ratio with a meaningful buffer and management confirmed no further build is planned. The position: long on Bank Leumi, entry locked at publication and the exit dated rather than open-ended. The target is stated in the call block above and the horizon with it. Sized to the catalyst rather than to conviction, with the invalidation written into the kill-switch card instead of left implicit. Regulatory change is the risk that is not hedged. A revised capital requirement would trap the distribution this position depends on.