--- title: "Meaning & Key Takeaway of: I believe that the general growth in…" description: "\"I believe that the general growth in large [financial] institutions have occurred in the context of an underlying structure of markets in which many of..." image: "https://sms4smile.com/quotes/i/c3d/alan-greenspan-1834_believe_i-believe-that-the-general-growth-in-lar_267082.jpg" --- # I believe that the general growth in large \[financial\]… ![“I believe that the general growth in large [financial] institutions have occurred in the context of an underlying structure of markets in which many of the larger risks are dramatically -- I should say, fully -- hedged.” quote by Alan Greenspan](https://sms4smile.com/quotes/i/c3d/alan-greenspan-1834_believe_i-believe-that-the-general-growth-in-lar_267082.jpg) [Download](https://sms4smile.com/quotes/i/c3d/alan-greenspan-1834_believe_i-believe-that-the-general-growth-in-lar_267082.jpg) [Open image](https://sms4smile.com/quotes/i/c3d/alan-greenspan-1834_believe_i-believe-that-the-general-growth-in-lar_267082.jpg) > “I believe that the general growth in large \[financial\] institutions have occurred in the context of an underlying structure of markets in which many of the larger risks are dramatically -- I should say, fully -- hedged.” [Alan Greenspan](https://sms4smile.com/quotes/author/alan-greenspan/) ## About This Quote This interpretation was drafted with AI assistance. It is one reading of the quote, not the author's own explanation. He argues that large financial institutions have become largely protected against major risks due to comprehensive hedging structures. **In simple terms:** Big banks are now well‑hedged against big risks. Key Takeaway Recognize the limits of risk protection. Themes finance risk management regulation Mood cautious analytical Type analytical critical When to use this quote - investment strategy - policy making - corporate risk assessment Key Concepts hedging systemic risk market structure Questions to Reflect On - Are current hedging practices sufficient for future crises? - What risks remain unhedged? A Different Perspective Even with hedging, unexpected shocks can still cause crises. ★ ★ ★ ★ ★ No ratings yet [Believe](https://sms4smile.com/quotes/about/believe/) [Financial](https://sms4smile.com/quotes/about/financial/) [Financial institutions](https://sms4smile.com/quotes/about/financial-institutions/) [Fully Hedged](https://sms4smile.com/quotes/about/fully-hedged-2620423/) [Growth](https://sms4smile.com/quotes/about/growth/) [Growth Large](https://sms4smile.com/quotes/about/growth-large-2173964/) [I believe](https://sms4smile.com/quotes/about/i-believe/) [Institutions](https://sms4smile.com/quotes/about/institutions/) [Investing](https://sms4smile.com/quotes/about/investing/) [Large Financial](https://sms4smile.com/quotes/about/large-financial-631787/) [Larger Risks](https://sms4smile.com/quotes/about/larger-risks-2620424/) [Markets Larger](https://sms4smile.com/quotes/about/markets-larger-2620422/) [Money](https://sms4smile.com/quotes/about/money/) [Risk](https://sms4smile.com/quotes/about/risk/) [Should](https://sms4smile.com/quotes/about/should/) [Structure](https://sms4smile.com/quotes/about/structure/) ## Related quotes > [Large financial institutions in this country will always play a role that is essential to our economic growth. But they must only be permitted…](https://sms4smile.com/quotes/henry-paulson/large-financial-institutions-in-this-country-will-always-play-a-role/) [Henry Paulson](https://sms4smile.com/quotes/author/henry-paulson/) > [If large financial institutions can break the law and accumulate million in profits - and, if they get caught, settle by paying out of…](https://sms4smile.com/quotes/elizabeth-warren/if-large-financial-institutions-can-break-the-law-and-accumulate/) [Elizabeth Warren](https://sms4smile.com/quotes/author/elizabeth-warren/) > [“Free markets are necessary to promote long-term growth, but they are not self-regulating, particularly when it comes to banks and other large financial institutions.”](https://sms4smile.com/quotes/francis-fukuyama/free-markets-are-necessary-to-promote-long-term-growth-but-they-are/) [Francis Fukuyama](https://sms4smile.com/quotes/author/francis-fukuyama/) > [China and India are the success stories; rapid growth in large countries is an engine that can make a colossal dent in world poverty.](https://sms4smile.com/quotes/angus-deaton/china-and-india-are-the-success-stories-rapid-growth-in-large/) [Angus Deaton](https://sms4smile.com/quotes/author/angus-deaton/) > [I compensate for big risks by always doing my homework and being well-prepared. I can take on larger risks by reducing the overall risk.](https://sms4smile.com/quotes/donna-shalala/i-compensate-for-big-risks-by-always-doing-my-homework-and-being-well/) [Donna Shalala](https://sms4smile.com/quotes/author/donna-shalala/) > [The use of a growing array of derivatives and the related application of more-sophisticated approaches to measuring and managing risk are key factors underpinning…](https://sms4smile.com/quotes/alan-greenspan/the-use-of-a-growing-array-of-derivatives-and-the-related-application/) [Alan Greenspan](https://sms4smile.com/quotes/author/alan-greenspan/) > [I think that if you're going after large banks and large financial companies to try to make sure people are being treated fairly, you're…](https://sms4smile.com/quotes/richard-cordray/i-think-that-if-you-re-going-after-large-banks-and-large-financial/) [Richard Cordray](https://sms4smile.com/quotes/author/richard-cordray/) > [“Hollywood was merely a specialized bank—a consortium of large financial entities that hired talent, almost always for a flat rate, ordered that talent to…](https://sms4smile.com/quotes/neal-stephenson/hollywood-was-merely-a-specialized-bank-a-consortium-of-large/) [Neal Stephenson](https://sms4smile.com/quotes/author/neal-stephenson/) > [I'm a believer. I'm one of the few standing before you today from a large financial services company that has not given up on…](https://sms4smile.com/quotes/abigail-johnson/i-m-a-believer-i-m-one-of-the-few-standing-before-you-today-from-a/) [Abigail Johnson](https://sms4smile.com/quotes/author/abigail-johnson/) > [I thought a company that provides mutual-fund information could be a great business, because you could construct an effective moat by building large financial…](https://sms4smile.com/quotes/joe-mansueto/i-thought-a-company-that-provides-mutual-fund-information-could-be-a/) [Joe Mansueto](https://sms4smile.com/quotes/author/joe-mansueto/) > [Limiting the destructive risk-taking by large financial firms and banks which are 'too big to fail' is needed.](https://sms4smile.com/quotes/sharan-burrow/limiting-the-destructive-risk-taking-by-large-financial-firms-and/) [Sharan Burrow](https://sms4smile.com/quotes/author/sharan-burrow/) > [When a large financial institution is allowed to fail, you put in jeopardy hundreds of thousands, if not millions, of people.](https://sms4smile.com/quotes/jose-angel-gurria/when-a-large-financial-institution-is-allowed-to-fail-you-put-in/) [Jose Angel Gurria](https://sms4smile.com/quotes/author/jose-angel-gurria/) > [It isn't given to man to be able to run a financial institution where different interest-rate scenarios will prevail on all of that so…](https://sms4smile.com/quotes/warren-buffett/it-isn-t-given-to-man-to-be-able-to-run-a-financial-institution-where/) [Warren Buffett](https://sms4smile.com/quotes/author/warren-buffett/) > [All safe deposit boxes in banks or financial institutions have been sealed... and may only be opened in the presence of an agent of…](https://sms4smile.com/quotes/franklin-d-roosevelt/all-safe-deposit-boxes-in-banks-or-financial-institutions-have-been/) [Franklin D. Roosevelt](https://sms4smile.com/quotes/author/franklin-d-roosevelt/) > [I think something that forces financial institutions to write down underwater mortgages, I think, would be a sensible thing to do.](https://sms4smile.com/quotes/christina-romer/i-think-something-that-forces-financial-institutions-to-write-down/) [Christina Romer](https://sms4smile.com/quotes/author/christina-romer/) ## More by Alan Greenspan > [Crony capitalism is essentially a condition in which... public officials are giving favours to people in the private sector in payment of political favours.](https://sms4smile.com/quotes/alan-greenspan/crony-capitalism-is-essentially-a-condition-in-which-public-officials/) [Alan Greenspan](https://sms4smile.com/quotes/author/alan-greenspan/) > [At the risk of some oversimplification, if the skill composition of our work force meshed fully with the needs of our increasingly complex capital-stock,…](https://sms4smile.com/quotes/alan-greenspan/at-the-risk-of-some-oversimplification-if-the-skill-composition-of/) [Alan Greenspan](https://sms4smile.com/quotes/author/alan-greenspan/) > [To succeed, you will soon learn, as I did, the importance of a solid foundation in the basics of education - literacy, both verbal…](https://sms4smile.com/quotes/alan-greenspan/to-succeed-you-will-soon-learn-as-i-did-the-importance-of-a-solid/) [Alan Greenspan](https://sms4smile.com/quotes/author/alan-greenspan/) > [I've always argued that this country has benefited immensely from the fact that we draw people from all over the world.](https://sms4smile.com/quotes/alan-greenspan/i-ve-always-argued-that-this-country-has-benefited-immensely-from-the/) [Alan Greenspan](https://sms4smile.com/quotes/author/alan-greenspan/) > [I cannot conceive of a politically feasible solution to this problem which will overdo cutting the deficit, where overdoing means harming the economy. 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But the old-economy…](https://sms4smile.com/quotes/alan-greenspan/we-may-be-in-a-rapidly-evolving-international-financial-system-with/) [Alan Greenspan](https://sms4smile.com/quotes/author/alan-greenspan/) > [The guiding purpose of the government regulator is to prevent rather than to create something.](https://sms4smile.com/quotes/alan-greenspan/the-guiding-purpose-of-the-government-regulator-is-to-prevent-rather/) [Alan Greenspan](https://sms4smile.com/quotes/author/alan-greenspan/) > [“government regulation cannot substitute for individual integrity.”](https://sms4smile.com/quotes/alan-greenspan/government-regulation-cannot-substitute-for-individual-integrity/) [Alan Greenspan](https://sms4smile.com/quotes/author/alan-greenspan/) > [...our market system depends critically on trust-trust in the word of our colleagues and trust in the word of those with whom we do…](https://sms4smile.com/quotes/alan-greenspan/our-market-system-depends-critically-on-trust-trust-in-the-word-of/) [Alan Greenspan](https://sms4smile.com/quotes/author/alan-greenspan/) > [It's hard to overemphasize how important Ford's deregulation was. True, most of the benefits took years to unfold-rail freight rates, for example hardly budged…](https://sms4smile.com/quotes/alan-greenspan/it-s-hard-to-overemphasize-how-important-ford-s-deregulation-was-true/) [Alan Greenspan](https://sms4smile.com/quotes/author/alan-greenspan/) [Explore all 204 Alan Greenspan quotes ](https://sms4smile.com/quotes/author/alan-greenspan/) ## More Believe quotes > [I actually think acting is a form of self-hypnosis. You have to be hyper, hyper aware of what's going on around you. You have…](https://sms4smile.com/quotes/julianne-moore/i-actually-think-acting-is-a-form-of-self-hypnosis-you-have-to-be/) [Julianne Moore](https://sms4smile.com/quotes/author/julianne-moore/) > [Some people still believe you should just fall in line with what's going on - and that's scary. It makes a mockery of freedom…](https://sms4smile.com/quotes/emily-robison/some-people-still-believe-you-should-just-fall-in-line-with-what-s/) [Emily Robison](https://sms4smile.com/quotes/author/emily-robison/) > [The truth seems to be that propaganda on its own cannot force its way into unwilling minds; neither can it inculcate something wholly new;…](https://sms4smile.com/quotes/eric-hoffer/the-truth-seems-to-be-that-propaganda-on-its-own-cannot-force-its-way/) [Eric Hoffer](https://sms4smile.com/quotes/author/eric-hoffer/) > [Resist discouragement by speaking His Word over your future. Keep standing. Keep hoping; keep believing because He is working behind the scenes. He's going…](https://sms4smile.com/quotes/joel-osteen/resist-discouragement-by-speaking-his-word-over-your-future-keep/) [Joel Osteen](https://sms4smile.com/quotes/author/joel-osteen/) > [I can't believe that I'm sitting in meetings with Steven Spielberg, Tom Hanks, and Annette Bening. I want to take on that responsibility to…](https://sms4smile.com/quotes/roger-ross-williams/i-can-t-believe-that-i-m-sitting-in-meetings-with-steven-spielberg/) [Roger Ross Williams](https://sms4smile.com/quotes/author/roger-ross-williams/) > [There is no such word as item girl in the dictionary. People have created this word and I don't believe that I am an…](https://sms4smile.com/quotes/shefali-zariwala/there-is-no-such-word-as-item-girl-in-the-dictionary-people-have/) [Shefali Zariwala](https://sms4smile.com/quotes/author/shefali-zariwala/) > [I understand that it's the music that keeps me alive... That's my lifeblood. And to give that up for, like, the TV, the cars,…](https://sms4smile.com/quotes/bruce-springsteen/i-understand-that-it-s-the-music-that-keeps-me-alive-that-s-my/) [Bruce Springsteen](https://sms4smile.com/quotes/author/bruce-springsteen/) > [I don't really like too much credit. I know nobody's going to believe this, but I'd rather be able to score goals and nobody…](https://sms4smile.com/quotes/bradley-wright-phillips/i-don-t-really-like-too-much-credit-i-know-nobody-s-going-to-believe/) [Bradley Wright-Phillips](https://sms4smile.com/quotes/author/bradley-wright-phillips/) > [“What I have a problem with is not so much religion or god, but faith. When you say you believe something in your heart…](https://sms4smile.com/quotes/penn-jillette/what-i-have-a-problem-with-is-not-so-much-religion-or-god-but-faith/) [Penn Jillette](https://sms4smile.com/quotes/author/penn-jillette/) > [Bush reiterated his stand to conservatives opposing his decision on stem cell research. 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Garfield](https://sms4smile.com/quotes/author/james-a-garfield/) > [We instantly believe everything we think. Isn't that insane? It's good for us to explore the depravity of our minds, so we know we…](https://sms4smile.com/quotes/krishna-das/we-instantly-believe-everything-we-think-isn-t-that-insane-it-s-good/) [Krishna Das](https://sms4smile.com/quotes/author/krishna-das/) [Browse all 47,704 Believe quotes ](https://sms4smile.com/quotes/about/believe/) ```json { "@context": "https://schema.org", "@graph": [ { "@type": "Quotation", "text": "I believe that the general growth in large [financial] institutions have occurred in the context of an underlying structure of markets in which many of the larger risks are dramatically -- I should say, fully -- hedged.", "creator": { "@type": "Person", "name": "Alan Greenspan" }, "isPartOf": { "@id": "https://sms4smile.com/quotes/#website" }, "url": "https://sms4smile.com/quotes/alan-greenspan/i-believe-that-the-general-growth-in-large-financial-institutions/", "about": { "@type": "Thing", "name": "Believe" }, "@id": "https://sms4smile.com/quotes/alan-greenspan/i-believe-that-the-general-growth-in-large-financial-institutions/#quotation", "image": { "@type": "ImageObject", "@id": "https://sms4smile.com/quotes/i/c3d/alan-greenspan-1834_believe_i-believe-that-the-general-growth-in-lar_267082.jpg", "contentUrl": "https://sms4smile.com/quotes/i/c3d/alan-greenspan-1834_believe_i-believe-that-the-general-growth-in-lar_267082.jpg", "url": "https://sms4smile.com/quotes/i/c3d/alan-greenspan-1834_believe_i-believe-that-the-general-growth-in-lar_267082.jpg", "width": 1080, "height": 1080, "caption": "“I believe that the general growth in large [financial] institutions have occurred in the context of an…” — Alan Greenspan", "creditText": "SMS4Smile Quotes", "creator": { "@id": "https://sms4smile.com/quotes/#organization" } } }, { "@type": "BreadcrumbList", "itemListElement": [ { "@type": "ListItem", "position": 1, "name": "Home", "item": "https://sms4smile.com/" }, { "@type": "ListItem", "position": 2, "name": "Quotes", "item": "https://sms4smile.com/quotes/" }, { "@type": "ListItem", "position": 3, "name": "Alan Greenspan", "item": "https://sms4smile.com/quotes/author/alan-greenspan/" }, { "@type": "ListItem", "position": 4, "name": "I believe that the general growth...", "item": "https://sms4smile.com/quotes/alan-greenspan/i-believe-that-the-general-growth-in-large-financial-institutions/" } ], "@id": "https://sms4smile.com/quotes/alan-greenspan/i-believe-that-the-general-growth-in-large-financial-institutions/#breadcrumb" }, { "@type": "WebSite", "@id": "https://sms4smile.com/quotes/#website", "name": "SMS4Smile Quotes", "url": "https://sms4smile.com/quotes/", "publisher": { "@id": "https://sms4smile.com/quotes/#organization" } }, { "@type": "Organization", "@id": "https://sms4smile.com/quotes/#organization", "name": "SMS4Smile Quotes", "url": "https://sms4smile.com/quotes/", "logo": { "@type": "ImageObject", "url": "https://sms4smile.com/quotes/wp-content/themes/sq/assets/icons/icon-512.png", "width": 512, "height": 512 } } ] } ```