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Bank Management

The problem of managing banks has become a very complex one not least since credit crises of a magnitude large enough to threaten a bank’s survival appear at fairly large intervals (10-15 years). In the meantime managers and personnel alike have ample time to forget what it was like to manage in the last crisis. We should remember that 7 of the 10 largest bankruptcies in the world during the first ten years of this century (in terms of assets) were financial institutions, and that Kaupthing (the Icelandic bank) was a larger bankruptcy than Enron. Much research into bank management is required. Increasing the reserves by a per cent point or two is not enough.

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Page Manager: Lise-Lotte Walter|Last update: 7/28/2015

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