NYU Stern has a tool it has developed that predicts the banks that you:
Should not own.
Should not keep your money in.
No surprises here:
It's no surprise that Bank of America (NYSE:BAC), Citigroup (NYSE:C), and JP Morgan (NYSE:JPM) top the list. I've covered my thoughts on the banks before. They haven't changed much since then. This tool takes a shot at calculating the capital shortfall of various banks given a financial crisis. I figure that comes in pretty handy considering that I think we are on the path towards financial crisis 2.0. Meanwhile, Congress is trying to balance the budget and this is simply a pedal on the proverbial crisis accelerator.
The banks rated by risk:
Reference the systemic risk (SRISK%) on a bank by bank basis to see where your bank is on the list.
Click to enlarge:
Reference the Chart Below:
The risk of the entire financial system is lower than it was a year ago, but this also illustrates that we are still at relatively elevated risk levels compared to the long run averages of 2001-2006. My gut tells me that this trend will reverse higher as the perpetual Greece bailout turns sour.