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Net Interest Margin
(redirected from Net Interest Yield)

   Also found in: Wikipedia 0.01 sec.
Net Interest Margin
A measure of the return on a company's investments relative to its interest expenses. The net interest margin helps a company determine whether or not it has made wise investment decisions. A negative net interest margin indicates that interest expenses exceed investment returns and that the company therefore has a net negative return. A positive net interest margin indicates the opposite. It is calculated thusly:

Net interest margin = (Investment returns - interest expenses) / Average earning assets.


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Net interest yield decreased to 127 basis points in 2003 from 146 basis points in 2002.
Despite the growth in the loan portfolio, especially in higher yielding commercial loans, our net interest yield has declined to 3.
50% Noninterest bearing liabilities Demand deposits 48,394 Other liabilities 5,847 --------- Total liabilities 738,550 Shareholders' equity 58,473 --------- Total liabilities and shareholders' equity $797,023 ========= NET INTEREST EARNINGS $6,925 ======== NET INTEREST YIELD ON EARNING ASSETS 3.
 
 
 
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