Systemic Risk Is Everywhere
May 17, 2012 7:48:41 GMT -5
Post by popcorn on May 17, 2012 7:48:41 GMT -5
Systemic Risk Is Everywhere 
The $2 billion loss of JP Morgan in derivatives trading is signaling, once again, the enormous risks big banks take with taxpayer backing. All U.S. banks are covered by the FDIC, and if a loss is big enough, it could threaten the financial system just as it did in 2008. JP Morgan has $70 trillion in total derivative exposure. The entire world has a little more than $700 trillion in derivative exposure, and one bank has 10% of all the derivative exposure on the planet!
usawatchdog.com/jp-morgan-derivatives-exposure-systemic-risk-is-everywhere/
The $2 billion loss of JP Morgan in derivatives trading is signaling, once again, the enormous risks big banks take with taxpayer backing. All U.S. banks are covered by the FDIC, and if a loss is big enough, it could threaten the financial system just as it did in 2008. JP Morgan has $70 trillion in total derivative exposure. The entire world has a little more than $700 trillion in derivative exposure, and one bank has 10% of all the derivative exposure on the planet!
usawatchdog.com/jp-morgan-derivatives-exposure-systemic-risk-is-everywhere/
