Geopolitical risks & trade tensions rank as the greatest threat to global financial stability in 2020, according to a new survey published by The Depository Trust & Clearing Corporation (DTCC), the premier post-trade market infrastructure for the global financial services industry. This is the first time in the survey’s seven-year history that cyber risk has been surpassed as the top risk.
23% of respondents cited geopolitical risks & trade tensions as the top risk overall, with over half of them (59%) citing it as a top 5 risk for next year. Respondents cited concerns about potential impacts on macroeconomic conditions and growth as well as heightened market volatility.
Cyber risk was cited as the top risk by 22% of respondents, with 63% citing it as a top 5 risk. Many respondents commented that cyber risk is a “growing” and “persistent” threat.
In addition to cyber risk and geopolitical risks & trade tensions, a U.S. economic slowdown (44% of respondents), Brexit (43% of respondents) and an Asia economic slowdown (30% of respondents) rounded out the top 5 risks to the industry. In fact, the U.S. economic slowdown and Asia economic slowdown…
