Risk-Weighted Assets

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Risk-Weighted Assets

The reserve requirements for a bank, weighted according to risk. Risk-weighted assets are the capital a bank must keep to cover its liabilities. They are calculated as follows: Government bonds have a risk weight of 0% while all other assets have a risk weight of 100%. One calculates the units of each type of asset a bank carries to find how risky its assets are.
References in periodicals archive ?
GBP 293m and a reduction in risk weighted assets currently attributable to the securitised mortgages of c.
74%, our tier 1 capital to risk weighted assets ratio was 9.
With regard to capital adequacy, the CBE revealed that the capital base to risk weighted assets declined to 13.
It is estimated that the transaction will result in a decrease in Risk Weighted Assets of approximately 0.
1 per cent positive impact on its common equity tier 1 capital resulting from a reduction of its risk weighted assets.
73 percent of risk weighted assets on solo basis and 14.
Some of the main features of these final guidelines prescribed by the CBO include: minimum common equity tier 1 ratio has prescribed at seven per cent of risk weighted assets, while minimum Tier 1 capital ratio has been prescribed at nine per cent of risk weighted assets and the minimum total capital adequacy ratio has been prescribed at 12 per cent of risk weighted assets.
Nykredit plans on holding equity capital of at least DKK63bn by 2019, which translates to 15 percent of its risk weighted assets.
The calculation of tier capital, the allocation of deductions, and the optimisation of risk weighted assets can no longer be performed in isolation.
76 per cent of the total credit risk weighted assets.
Value Partners, a leading management consultancy firm in the Middle East, said it has identified strategies for banks in the Gulf region to help them reduce the risk weighted assets (RWA) and optimise capital.
5 billion under Basel I, the increase in pro forma Tier 1 common capital under Basel III and the reduction in risk weighted assets by $7.