A list of the World’s safest banks for 2007

frank_potter

The magazine Global Finance has recently announced its list of the world’s safest banks for 2007. The list appears to have been compiled using cumulative data from the credit rating agencies Fitch, Moody’s and Standard & Poors.

The highest rated UK bank in the list (of 50 banks) is Lloyds TSB listed at 7th.

Others that may be of particular interest are:

Barclays (9th)
Royal Bank of Scotland (12th)
Ing (15th)
Santander (16th) – Santander group includes Abbey National and Cahoot.
HSBC (22nd)
HBOS (25th)
Ulster Bank (32nd)

None of the Mutual Building Societies have managed to be included in the list

The full list of the World’s 50 safest banks can be found at:

http://www.rabobank.com/content/images/GF_safest_banks2007_tcm43-33489.pdf

globevestor

Does Global Finance consider risks of OTC derivatives?

Jonbvn

I am a bit sceptical of this data considering the following points:

1. Some of the top rated banks are very small, considering their total assets. Note the UK banks are generally mega-banks by assets.
2. The ranking is done based on their market ratings, as provided by S&P etc. Enron had a good market rating?
3. Why are the huge banks from Japan omitted?

gt94sss2

frank_potter wrote: »

The highest rated UK bank in the list (of 50 banks) is Lloyds TSB listed at 7th.

Others that may be of particular interest are:

Barclays (9th)
Royal Bank of Scotland (12th)
Ing (15th)
Santander (16th) – Santander group includes Abbey National and Cahoot.
HSBC (22nd)
HBOS (25th)
Ulster Bank (32nd)

In my view this list appears to be a total waste of time.

Any list which has HSBC as a lot less safe than Barclays/Lloyds/RBS is just crazy - even the recent credit crunch problems have got HSBC the least affected by SIV funding issues as a % of its asset base - and for them to be rated so close to HBOS is stupid..

Also, I wonder if anyone has told them that Ulster Bank is part of RBS..

Regards
Sunil