Econintersect: Using the data from the Great Recession, a Boston Fed study analyzed financial data from 26 large U.S. bank holding companies, thrifts, and broker-dealers over the period from 2007:Q1 to 2012:Q2 to estimate the erosion of capital during each institution’s most stressful period. Of the 26 institutions examined in this study:
- 13 had losses that would deplete capital ratios by at least 200 basis points,
- 12 institutions had capital ratio erosion in excess of 300 basis points, and
- 8 institutions had capital ratio erosion in excess of 450 basis points.
[full page view by hitting the lower right hand corner icon]
To print Scribd document:
- Click “Download.”
- Open with “Adobe Reader”.
- Select “Print”.