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.
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That being said, given a sizable component of operational risk-weighted assets, BAC's risk-weighted asset density is higher than peers, which adds some conservatism to the ratio.
Exposure to the Russian market is to be reduced, with a risk-weighted asset (RWA) reduction of approximately 20 per cent planned by end-2017 (RWA as at 31.
The Banker database was helpful as a means to obtain the year-end 2013 risk-weighted asset levels for the top fifty banks most likely to be prime prospects for cocos.
The group has appointed a team to engage in a "comprehensive risk-weighted asset mitigation and capital-enhancing actions across all geographical areas", Sarris added.
The rule permits sponsoring banks, bank holding companies, and thrift institutions (banking organizations) to continue to exclude from their risk-weighted asset base, for purposes of calculating the risk-based capital ratios asset-backed commercial paper (ABCP) program, assets that are consolidated onto sponsoring banking organizations' balance sheets as a result of Financial Accounting Standards Board Interpretation No.
Question marks remain about the reliability and comparability of risk-weighted asset calculations and, until these are resolved, confidence in capital ratios cannot be fully restored.
Tier 1 common equity to total risk-weighted assets at December 31, 2017 was 12.
Cline's conclusion is that "the optimal capital ratio is 7% to 8% of total assets, corresponding to 12% to 14% of risk-weighted assets (using the ratio of risk-weighted assets to total assets in euro area and US banks).
The transaction reduces the bank's risk-weighted assets by at least 0.
At September 30, 2017, our common equity tier 1 capital to risk-weighted assets ratio was 9.
MoodyAaAaAeAeAaAaAeA@'s said that capital le would remain strong over the next 12 to 18 months for the UAE's banks, with system-wide tangible common equity at between 14% and 16% of risk-weighted assets.
Capital levels will remain strong over the next 12 to 18 months for the UAE's banks, with system-wide tangible common equity at between 14 per cent and 16 per cent of risk-weighted assets.