Chris Whalen (via The Big Picture) provides an update of Institutional Risk Analytics latest bank stress test results. Before we dive in, here is a breakdown of what defines an A+ and an F bank (a full description of all ratings can be found here):
- A+ Overall: Banks with this grade tend to exhibit strong metrics across the board
- F: At this degree of stress, one or more of the key elements of the business model has reached failure mode. What concerns exist are probably already public
![](https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEj6oBHYWO_hd-mcL-nkgOuEbehvkT1wmqewhaQ9OQ7H7mmF7WA-q123_pJTasaQ2n5HH5PP2vb2kpwAoPo3z1_lXNBUfW2kpiPjxn3P6AnrVPFZSxfohGhY2NwFo_hQLT97554TLODO9No/s400/irabank.png)
That comes out to 1.6 A+ banks for every F bank, up from 11:1 just three years back.
Source: The Big Picture
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