US bank regulators often use asset-size thresholds, assuming that larger banks pose more risks than smaller banks. However, the Office of Financial Research argues that a multifactor approach is superior to considering size alone in determining systemic importance in a ViewPoint paper titled, “Size Alone is Not Sufficient to Identify Systemically Important Banks.”
The OFR also issued an accompanying blog by Director Richard Berner, titled, “Bank Size Does Not Tell the Whole Story in Measuring Systemic Importance.”