Saw an article posted on the Steve Quayle website which was from the Office of the Currency Administrator of National Banks. Its their (OCC’s) Fourth Quarter 2006 Report on Bank Derivatives Activities. It lists the top 25 U.S. Banks
with the most derivatives contracts in notational amounts. Bank of America is number 2 on that list. Total amount of derivatives are 26,674,360 (millions) compared to BofA’s total assets of 1,196,124. While I’ve read somewhere that BofA does not do subprime mortgages, in reading this document, I wonder how much impact this credit crunch will have on BofA, or for that matter on any bank with that much exposure to derivative contracts. Do you have any idea what the likely impact would be??
Thanks for your time and attention! And patience with my question…:-)
