TBTF Banks: Those at the Top Are Still the Ones Doing the Derivatives Trading

For those who have seen this table in earlier posts, here’s the update. The issue is what constitutes a systemic bank. Dodd-Frank says $50 billion and above in balance sheet assets. This table shows the assets of U.S.-headquartered banks as ranked by assets by the Federal Reserve. It also shows their derivatives portfolios and their credit derivatives portfolios (which are mainly credit default swaps). The Fed calculates the derivatives portfolios as a percentage of assets. This shows a five-year history of that ratio.

Only those at the very top trade derivatives. An even smaller group serve as the underwriters of credit default insurance.

Through 2015. Data from the Federal Reserve.