Standard Chartered's structural problem?9 Jun 2021 17:51
I was recently reading a book on the financial system which said Standard Chartered has long had a structural issue in trying to match its sterling liabilities against its foreign-currency assets. This struck me as odd because it suggests the bank, which doesn't take deposits in the UK, is denominating many or all of its accounts across the rest of the world in sterling, since it's the accounts which on the balance sheet are the main source of its liabilities. So is this claim correct and is this a long-term problem for Standard Chartered, exposing it to considerable translation risk depending on exchange rates? Anyone able to shed light?