Skip to content

A Resilience Test of US and EU banks. A Systems Perspective.

Ontonix QCM Blog


There is much discussion today about systemic risks. In particular, the notion of “systemic” banks or corporations has become popular, which indicates entities that have the capability of causing considerable damage to the economy in case of default. Such entities are often termed as “Too Big To Fail” and their footprint on the national and global economies is, clearly, substantial. It is therefore of great interest to monitor closely systemic banks and corporations and to keep an eye on their resilience.

Resilience is a new quantity in finance. It represents the capacity of a business to withstand shocks and extreme events. Because our global economy is characterized by fluctuations, turbulence and is highly interconnected, business resilience is surely a good-to-have property.

Assetdyne has developed a tool which measures the resilience of a corporation based on the evolution of its stock price. It is therefore a simplified approach which, evidently, is…

View original post 576 more words

Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

%d bloggers like this: