CITIBANK and JP Morgan pose substantial risk to the global banking system
International company Financial Stability Board carried out an annual assessment of the financial state of the 30 largest world banks, all of which are divided into 5 groups by their ability to sustain losses during the global financial crisis. Fortunately, the crisis is far off, and no bank has been placed into the fifth, high risk category. However, the fourth risk category currently ranks CITIBANK and JP Morgan, while Bank of America and Wells Fargo – are all under analysts’ surveillance.
The UK branch of HSBC and Barclays bank have improved their ranking by leaving some markets, effectively retrenching and mitigating their risks. Deutsche Bank together with Bank of America and BNP Paribas are currently in the third category.