EU Bank Stress Tests Were Rubbish

[petergriffin]

You might as well say EU everything is rubbish, it's probably true.

You might as well say FSA/FCA is rubbish, it's probably true.

[Jeff Maginty]

..

[doodab]

Twat

Oops, sorry, something about innocent mistakes.

Oi, Admin, why doesn't size=123 work they way I'd hoped?

[Jeff Maginty]

..

[darmstadt]

The Council of Europe got their information regarding the status of any money laundering through Cyprus banks from Moneyval who back in 2011 said that the Cyprus banks were all in order. Its quite interesting that the chairman of Moneyval just happens to be Vladimir Nechaev who until last year was the first deputy prime minister of...Russia

[centurian]

But these tests were labelled as rubbish from the get go. What is surprising is that so many people are surprised they are crap.

Broadly speaking, the stress tests assume that nothing particularly stressful happens. I kid you not. It's like having flood defence tests which assume there is no rain.

[KentPhilip]

You might as well say EU everything is rubbish, it's probably true.

[doodab]

10 lessons from the Cyprus bailout | Money | The Guardian

Point 9 is a good one. One wonders what else they have missed...

The European Banking Authority's annual healthcheck on eurozone banks at the height of the euro crisis in July 2011 revealed significant concerns about just eight banks – five Spanish, one Greek and two Austrian. The Cypriot banks – Bank of Cyprus, Laiki, and Hellenic – passed what was supposedly a gruelling assessment.

Bank of Cyprus chief executive officer Andreas Eliades (who resigned on ) said at the time: "The stress test results justify the group's strategic choices and actions, and illustrate its very strong capital base even under the most extreme, difficult and adverse scenarios." All of Britain's banks also passed these stress tests. Make of that what you will.