Before revision:  This seems at odds with the diversification benefit obtained in standard credit risk models . Results suggest that the credit exposure network of the European global systemically important banks is in a weak contagion regime, but strong contagion could be approached in periods characterized by extreme volatility or in cases where the financial institutions are not adequately capitalized .
After revision:  This is the opposite of the diversification benefits postulated by standard credit risk models . Results suggest that the credit exposure network of the European global systemically important banks is in a weak contagion regime, but strong contagion could be approached in periods characterized by extreme volatility or in cases where the financial institutions are not adequately capitalized .