JP Morgan is once again the most important institution in the world

From the perspective of global bank regulators, the US bank JP Morgan is once again the most important institution in the world for the stability of the international financial system. The Financial Stability Board FSB classified the largest US financial institution in the highest category of systemically important banks in the world, as the panel announced. As a category four bank (most recently: three), the bank must maintain an additional capital buffer of 2.5 (most recently: 2.0) percent. A year ago, the FSB no longer rated the importance of JP Morgan that high. The FSB monitors the threats to the global financial system on behalf of the G20 countries. He assesses banks not only according to their size, but also according to the risk involved in the business and how interconnected they are in the financial system. Depending on the risk, he sets minimum requirements for an additional capital buffer. The national supervisors can impose stricter requirements. The FSB reviews its list of global systemically important banks (G-SIB) annually. The 30 banks that are on it this time are the same as a year ago. The FSB plans to publish its next G-SIB list in November 2022. The position of Deutsche Bank as a category two money house did not change. As was the case a year ago, Germany’s largest institute has an additional capital buffer of 1.5 percent. The importance of the major French bank BNP Paribas, on the other hand, was increased by one notch. As a category three bank, they now have an additional capital buffer of 2.0 (previously: 1.5) percent. The importance of the US investment bank Goldman Sachs has also increased by one notch. It is now viewed as a category two bank and has to maintain an additional capital buffer of 1.5 (previously: 1.0) percent.