Adjusted Capital Ratio

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Adjusted Capital Ratio

A ratio of a bank's capital to its total assets. It is calculated by taking the bank's allowance for bad debt and gains on its securities, and subtracting its losses and probable bad debt. The adjusted capital ratio is one way to calculate the bank's capital adequacy.
References in periodicals archive ?
Given favorable asset quality measurements, strong reserve levels and high liquidity, capital is appropriate with Tier I and total risk adjusted capital ratios of 7.
In the REIT sector, no distinction is made between cumulative and non-cumulative preferred capital; both are assigned to the 50% debt/ 50% equity category to calculate Risk Adjusted Capital Ratios, and to the 100% equity category to calculate Financial Leverage Ratios.
The corporation can, at a minimum, maintain the same level of risk- adjusted capital ratios (Tier I is 7.
Given favorable asset quality, reserve levels and liquidity, capital is considered strong with Tier I and total risk adjusted capital ratios of 7.
A more appropriate level of reserves given the pace of deterioration and the potential further migration towards lower credit risk classifications would require significantly larger provisioning efforts which would, in turn, pressure profitability and internal capital generation at a time when Santos' risk adjusted capital ratios have dropped close to regulatory minimums.
Fleet's risk adjusted capital ratios remain strong and above similarly rated peer banking companies.
On the other hand, the capital base of the combined entity should be adequate and both BC and Edwards have maintained similar risk adjusted capital ratios, which were 11.
The rating reflects Bankers Trust's substantial liquidity, strong reserve coverage of nonperforming loans, and the level of its risk adjusted capital ratios.
Based on an analysis of management's plans, Duff & Phelps believes that the restructuring should bring the Shand/Evanston Insurance Group's risk adjusted capital ratios closer to expectations for the ratings class.
On a preliminary basis, Tier 1 and Total Risk Adjusted capital ratios were 10.
The rating reflects Bankers Trust's continuing strength in earnings and profitability, substantial liquidity, strong reserve coverage of nonperforming loans, and meaningful improvement in risk adjusted capital ratios.
The ratings reflect the dependable deposit funding from both domestic and off-shore sources, the high level of risk adjusted capital ratios, good control of overhead expenses, seasoned management, high asset quality, and relatively strong (and sustainable) coverage of nonperforming assets, along with growing core profitability and earnings.