While the vast majority may be left with the impression that JPMorgan's mindboggling $69.5 trillion in gross notional derivative exposure as of Q4 2012 may be the largest in the world, they would be surprised to learn that that is not the case. In fact, the bank with the single largest derivative exposure is not located in the US at all, but in the heart of Europe, and its name, as some may have guessed by now, is Deutsche Bank. - €55,605,039,000,000. Which, converted into USD at the current EURUSD exchange rate amounts to $72,842,601,090,000.... Or roughly $2 trillion more than JPMorgan's.
Increase in bad debt provisions (which at €354MM on total loans of €399.9 BN net
of a tiny €4.863 BN in loan loss allowance will have to go higher. Much
higher). Ironically both events are complete noise in the grand scheme
of things. Because something far more interesting can be found on page
87 of the company's 2012 financial report.