Financial institutions have also stretched their global reach. According to Federal Reserve data, U.S. offices of foreign banking organizations increased their share of U.S. bank deposits from around 2 percent in the early 1970s to around 15 percent in recent years.5 Several of the largest U.S. financial institutions have vastly expanded their global operations over this period.
1  These figures include both direct investments and financial claims. See U.S. Department of Commerce, Bureau of Economic Analysis, Yearend Positions, 1976-2003. 2  McKinsey Global Institute (2005), $ Trillion and Counting: Taking Stock of the Worlds Capital Markets, February.