OFR Compares U.S. and International Systemically Important Banks

The Office of Financial Research ("OFR") issued a brief in which OFR consultants Paul Glasserman and Bert Loudis examined a set of systemic importance indicators established by the Basel Committee on Banking Supervision.

These indicators are intended to measure the threat to global financial stability that a large bank could pose if it were to fail. The Basel Committee's scoring methodology indicated that the largest U.S. banks rank relatively high in systemic importance based on measures of size, interconnectedness, complexity, cross-jurisdictional activity and the provision of services with limited substitutes.

See: Systemically Important Banks Brief (Series 15-07), by Paul Glasserman and Bert Loudis.Related news: Brookings Institute Hosts Discussion of Structural Issues within U.S. Bond Markets (with Lofchie Comment and Delta Strategy Group Summary) (August 3, 2015); FSB to Go Slow on Risk Analysis of Investment Funds; SIFMA AMG Applauds Decision (with Lofchie Comment) (July 31, 2015).