Risk Italia Rankings 2012

Italy and its banks have had a wild ride over the last 12 months – from the brink of disaster to something resembling stability. It may not last, but the resulting swings in risk appetite have certainly kept dealers busy for a while. In our ranking of derivatives market-makers, Barclays climbs to the top of the pile after finishing second and third in the two preceding years

Italy has seen a dramatic shift in fortunes over the past 12 months. On November 7 last year, Silvio Berlusconi was still in office, the country’s banks were struggling for funding and the 10-year Italian government bond was yielding 6.67% - it would peak roughly two weeks later at 7.17%.

Today, the country is under less pressure – the 10-year bond has been below 6% since the start of August – banks have some breathing space, and Berlusconi is gone. Two Marios – Monti and Draghi – the country’s