Deutsche Bank Collapse May Trigger ‘Global Financial Catastrophe’
SputnikNews.com
18.07.2016
In June, the International Monetary Fund (IMF) labelled Deutsche Bank as the most risky global financial institution. Experts do not believe the bank will suffer the same destiny as Lehman Brothers. But if it does this would be a global financial catastrophe.
In late-June, the IMF stated that Deutsche Bank is the most important net contributor to systemic risks among the global systemically important banks, The Wall Street Journal reported.
Moreover, the United States Federal Reserve reported that the US subsidiary of the bank had failed a stress test due to poor risk management and financial planning. A total of 33 banks were tested, and two of them, Deutsche Bank and Santander, failed.
The news pushed Deutsche Bank shares to a 30-year low, to €12.37 per share. Western experts warned that the bank could share the destiny of Lehman Brothers. It was declared bankrupt in 2008, having triggered a global financial crisis.
A Domino Effect
The Rest…HERE
