Foreign banks use US repo deals to ‘window-dress’ risk, Financial Times

For now, though, outsiders should take the banks’ reported ratios with a pinch of salt, said Mayra Rodriguez Valladares of MRV Associates, a former official at the Federal Reserve Bank of New York.
“If they’re moving assets around to look better it is a big problem for us, as we don’t get to see the day-to-day information,” she said.
“If something adverse happens, we could have been lulled into a false sense of security that [the banks] are sufficiently capitalised.”

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