Sunday, February 27, 2011

10 Most Systemically Risky Financial Organizations

"As part of the US policy response to the global crisis, the Dodd-Frank Financial Reform Act calls for regulators to identify systemically risky financial firms – the sort that took the US financial crisis global. But how to identify these firms remains unclear. Some claim the task is impossible. This column begs to differ and names the 10 most systemically risky financial firms in the US."

The above is a quote from an article on Naked Capitalism that is a great post. It describes a study conducted by four NY University professors to answer the question, what companies are financially risky. This list does not pull the covers back from any secret, it does confirm that there has been little resolution to the problems that conspired, through the systemically connected too-big-to-fail organizations, to cause the financial crisis escalate and ultimately fall onto the backs of the global taxpayers and holders of US Treasury, and other sovereigns, debt.

Here is a chart published in the article linked to above. It includes three more large insurer's which adds credibility for me. That's because insurer's in general are lenders of capital for commercial real estate projects, many of which are non-performing assets.

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