Commodity trading houses face questions over systemic risk

The rapid growth of commodity trading houses has led critics to question whether these firms have become a source of systemic risk. But trading houses strongly reject such arguments, and suggest they are little more than paper tigers. Alexander Osipovich reports


Since 2008, regulators have been scouring the earth for potential threats to the global financial system. That has taken them beyond the usual suspects in the banking sector – insurers, for example, have lately been caught up in the floodlights. On July 18, the Basel-based Financial Stability Board (FSB) added nine large insurers to its list of global systemically important financial institutions (G-Sifis) – a term for companies that are deemed too big to fail. The insurers joined 28

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact or view our subscription options here:

You are currently unable to copy this content. Please contact to find out more.

Sorry, our subscription options are not loading right now

Please try again later. Get in touch with our customer services team if this issue persists.

New to View our subscription options

Most read articles loading...

You need to sign in to use this feature. If you don’t have a account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account here