The US Office of Financial Research released a report in which it concluded bank living wills haven’t ended the market’s perception of the need for government assistance in winding down a Too Big to Fail bank.

As a MarketWatch article summarized the report,

The study finds that, drawing on the public portions of living wills, the largest U.S. bank holding companies have not reduced either their complexity or their interconnectedness.

This finding is not surprising as the Too Big to Fail banks are black boxes that do not qualify for a label from the Transparency Label Initiative.  Buying any security issued by these banks that is not guaranteed by the government is simply gambling.