商业银行经营风险评价(英文版.pptVIP

Noninterest income to earning assets Noninterest expense to earning assets LNLS loss provision to assets US Banks: ROA (2002) US Banks: ROE (2002) US Chinese Banks: ROA (2002) US Chinese Banks: ROE (2002) * * * * * * * * * * * * * * * * * * * * * Relationship between balance sheet and income statement Expenses and loan losses directly effect the balance sheet. The greater the size of loan portfolio, the greater is operating overhead and PLL. Consumer loans are usually smaller and hence more expensive (non-interest) per dollar of loans. Return on equity (ROE = NI / TE)… the basic measure of stockholders’ returns ROE is composed of two parts: Return on Assets (ROA = NI / TA) represents the returns to the assets the bank has invested in. Equity Multiplier (EM = TA / TE) the degree of financial leverage employed by the bank. Return on assets (ROA = NI / TA)…can be decomposed into two parts: ? Asset utilization (AU) → income generation ? Expense ratio (ER) → expense control ROA = AU － ER = (TR / TA) － (TE / TA) TR = total revenue or total operating income = Int. inc. + non-int. inc. + SG(L) TE = total expenses= Int. exp. + non-int. exp. + PLL + Taxes INCOME Return to the Bank ROA = NI / TA EXPENSES Rate Composition (mix) Volume Interest Overhead Prov. for LL Taxes Fees and Serv Charge Trust Other Rate Composition (mix) Volume Interest Non Interest Salaries and Benefits Occupancy Other Bank Performance Model Returns to Shareholders ROE = NI / TE Degree of Leverage EM = 1 / (TA / TE) Asset utilization (AU = TR / TA):… the ability to generate income. Interest Income / TA Asset yields (rate) Interest income asset (i) / $ amount of asset (i) Composition of assets (mix) $ amount asset (i) / TA Volume of Earning Assets Earning assets / TA Non interest income / TA Fees and Service Charges Securities Gains (Losses) Other income Expense ratio (ER = Exp / TA)… the ability to control expenses. Interest expense / TA Cost per liability (rat