EU stress tests see €46bn trading loss for G-Sibs
EU-wide stress tests have revealed the region’s biggest banks to be at risk of significant trading losses under prescribed baseline and adverse scenarios
The largest European banks would suffer aggregate trading losses of €46.6 billion in the worst-case scenario envisaged by EU-wide bank stress tests, results of which were published yesterday (October 26).
That pales in comparison to trading losses experienced during the financial crisis, analysts note. For example, UBS alone disclosed a Sfr21.3 billion loss (€17.6 billion) in its 2008 annual report, largely attributed to fixed-income trading losses stemming from US real estate and other credit
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