http://stateweatherstation.com Your all in one US Forex Station Thu, 17 May 2012 09:41:53 +0000 http://wordpress.org/?v=2.9.1 en hourly 1 http://stateweatherstation.com/majority-of-global-banks-still-unsafe/ http://stateweatherstation.com/majority-of-global-banks-still-unsafe/#comments Tue, 24 Nov 2009 14:28:53 +0000 admin http://stateweatherstation.com/?p=70 Standard & Poor’s has given warning that nearly all of the world’s big banks lack sufficient capital to cover trading and investment exposure, risking further downgrades over the next 18 months unless they move swiftly to beef up their defenses.
Every single bank in Japan, the US, Germany, Spain, and Italy included in S&P’s list of 45 global lenders fails the 8pc safety level under the agency’s risk-adjusted capital ratio. Most fall woefully short.
The most vulnerable are Mizuho Financial, Citi-group, UBS, Sumtomo Mitsui, Mitsubishi, Allied Irish, DZ Deutsche Zxentral, Danske Bank, BBVA, Bank of Ireland, Bank of America, Deutsche Bank, Caja de Ahorros Barcelona, and UniCredit.
While some banks may look healthy under normal Tier 1 and leverage targets, critics claim that these measures can be highly misleading as they fail to discriminate between high-risk and low-risk uses of leverage. The system failed to pick up the danger signals before the financial crisis. The supposedly moderate leverage of US banks in 2007 proved to be a spectacularly useless indicator.

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