EU Planning Imaginary Bank Stress Tests Or Something

Author:
Updated:
Original:

The potentially delusional Europeans are setting an "illusionary" timetable for what may be magical tests based on comically enormous spreadsheets that may or may not accurately reflect anything.

Europe has set itself a "completely illusionary" timetable for the next round of bank health checks and risks having to cut corners to meet deadlines, a source involved with the preparations told Reuters.

Regulators may run the long-awaited stress tests before completing essential preparatory work such as asset quality checks, the source said, a decision that could compromise the quality of the results….

The source described the timeline and sequence as "completely illusionary" given the amount of work to be done to produce robust asset checks ahead of the stress tests, and to do so with more credibility than before.

"This is more than a normal audit. Banks will have to fill out enormous excel tables," the source said.

Europe set 'illusionary' deadline for bank health checks: source [Reuters]

Related

By Ryan McGilchrist [CC BY-SA 2.0 ], via Wikimedia Commons

New For 2019: No-Stress Stress Tests

Even Deutsche Bank won’t have to cram for this one.

By AKS.9955 (Own work) [CC BY-SA 4.0], via Wikimedia Commons

Banks Throwing Lavish Stress-Test Graduation Parties With Money Carefully Hoarded To Pass Stress Tests

And why not? It’s not like they’ll need those capital buffers anymore, and there’s much to celebrate.

Courtesy Federal Reserve.

GAO Asks Fed To Stress Test The Stress Test

Janet Yellen needs to solve the problem of knowledge.