Writing in the Financial Times yesterday, Josef Ackermann – CEO of Deutsche Bank – argued that larger banks are not more dangerous to the health of financial system (and thus to taxpayers) than smaller banks. According to him, system danger arises primarily from the degree to which banks are “interconnected”.
Inadvertently, Mr. Ackermann makes a strong case for banking system reform. You can break this down into five parts. Continue reading “What Is Josef Ackermann’s Point?”