Thursday, March 05, 2009

The Stress Test "19"

by Calculated Risk on 3/05/2009 09:56:00 AM

In the Treasury White Paper on the Capital Assistance Program, the Treasury announced that the 19 largest bank are current undergoing stress tests:

Examinations will be conducted across the 19 banking organization with assets in excess of $100 billion, as measured according to the data reported for 2008Q4 in the Board of Governors of the Federal Reserve System Consolidated Financial Statements for Bank Holding Companies.
Paul Kiel at ProPublica has compiled a list of the likely 19 banks by total assets: GMAC, MetLife Among Banks Undergoing Stress Tests

NameTotal Assets (Billions)
1. JPMorgan Chase2,175
2. Citigroup1,947
3. Bank of America (1)1,822
4. Wells Fargo1,310
5. Goldman Sachs885
6. Morgan Stanley659
7. MetLife502
8. PNC Financial Services291
9. U.S. Bancorp267
10. Bank of New York Mellon238
11. GMAC189
12. SunTrust189
13. State Street177
14. Capital One Financial Corp.166
15. BB&T152
16. Regions Financial Corp.146
17. American Express126
18. Fifth Third Bancorp120
19. KeyCorp105

This shows that the assets are concentrated in just a few large banks.

(1) Note: Data as of Q4 2008. Merrill is not included in the BofA asset numbers. IF added, BofA would have almost $2.5 trillion in assets (ht Evan).