ManagementofFinancialInstitution外文文献.pptVIP

Chapter Three Evaluating Returns, Risks and Overall Performance Using basic ideas from business finance Attaining the main objective of maximising the value of shareholders’ investment Key return measures for a company ROE, etc. Additional information needed including risk measures such as nature of costs Parallels with financial institutions Key return and risk measures for a bank Measuring returns – financial statement information Measuring risks Liquidity risk Interest-rate risk Credit risk Capital risk Measuring returns ROA or ROE? Important ratios - Refer table 3.2 on page 92: Intere