Last Friday, the stress test results for the European banks were released last Friday and 7 out of 91 banks failed the stress scenario.
Not everyone is willing to believe in the results in the face value.
Christopher Whalen, managing director of Institutional Risk Analytics, discusses the implications of the European Union bank stress tests and the outlook for consolidation in the EU financial industry. Whalen speaks with Deirdre Bolton on Bloomberg Television’s “InsideTrack.”
His primary complaint is the lack of transparency of the European banking industry. There is no FDIC equivalent central portal for the European banks, so the analysts do not have a starting point to assess the whether the stress test is credible.
Perhaps what he says in true. But to make him a believer takes far more than a more rigorous stress test.
Not everyone is willing to believe in the results in the face value.
Christopher Whalen, managing director of Institutional Risk Analytics, discusses the implications of the European Union bank stress tests and the outlook for consolidation in the EU financial industry. Whalen speaks with Deirdre Bolton on Bloomberg Television’s “InsideTrack.”
His primary complaint is the lack of transparency of the European banking industry. There is no FDIC equivalent central portal for the European banks, so the analysts do not have a starting point to assess the whether the stress test is credible.
Perhaps what he says in true. But to make him a believer takes far more than a more rigorous stress test.
