http://www.zerohedge.com/news/2016-02-08/forget-europe-why-time-has-come-panic-about-canadian-banks-one-chart
To summarize:
- Canadian banks' (ex RBC) current loss allowance: $170MM
- Canadian banks' (ex RBC) pro-forma loss allowance assuming U.S. banks reserve levels are accurate: $2,529MM
The difference: $2,359MM, or an increase of 1,288%.
Clearly, the above RBC analysis assumes that 7% loss reserves are sufficient to offset loan losses in what is shaping up as the biggest commodity crash in history
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