Mercer Capital's Bank Watch | July 2015 | Small Bank Holding Companies Regula...Mercer Capital
Brought to you by the Financial Institutions Team of Mercer Capital, this monthly newsletter is focused on bank activity in five U.S. regions. Bank Watch highlights various banking metrics, including public market indicators, M&A market indicators, and key indices of the top financial institutions, providing insight into financial institution valuation issues.
“Basel III is more about improving the risk management systems in the Banks than just Improved Quality and enhanced Quantity of capital”. Please discuss the challenges to the Indian Banks by March,2017
Mercer Capital's Bank Watch | July 2015 | Small Bank Holding Companies Regula...Mercer Capital
Brought to you by the Financial Institutions Team of Mercer Capital, this monthly newsletter is focused on bank activity in five U.S. regions. Bank Watch highlights various banking metrics, including public market indicators, M&A market indicators, and key indices of the top financial institutions, providing insight into financial institution valuation issues.
“Basel III is more about improving the risk management systems in the Banks than just Improved Quality and enhanced Quantity of capital”. Please discuss the challenges to the Indian Banks by March,2017
CDFIs Stepping Into the Breach: An Impact Evaluation Summary Reportnc_initiative
This report summarizes research undertaken by the Carsey School of Public Policy to evaluate impacts of the Community Development Financial Institutions (CDFI) Fund on CDFIs and of the CDFI industry on the people and communities it serves.
FIN 100 help A Guide to career/Snaptutorialpinck234
For more classes visit
www.snaptutorial.com
• Question 1
Our system of national banks:
• Question 2
Another name for an open-end investment company is a:
• Question 3
_______________ provide loans directly to consumers and businesses and help borrowers obtain mortgage loans on real property.
CDFIs Stepping Into the Breach: An Impact Evaluation Summary Reportnc_initiative
This report summarizes research undertaken by the Carsey School of Public Policy to evaluate impacts of the Community Development Financial Institutions (CDFI) Fund on CDFIs and of the CDFI industry on the people and communities it serves.
FIN 100 help A Guide to career/Snaptutorialpinck234
For more classes visit
www.snaptutorial.com
• Question 1
Our system of national banks:
• Question 2
Another name for an open-end investment company is a:
• Question 3
_______________ provide loans directly to consumers and businesses and help borrowers obtain mortgage loans on real property.
Six Principles for True Systemic Risk Reformcoryhelene
Ten years after the capstone of financial industry deregulation--the Financial Modernization, or Gramm-Leach-Bliley, Act--the United States is facing the worst economic crisis since the Great Depression. The following policy brief outlines six key principles for comprehensive and meaningful systemic risk reform, which are neccessary to undo many of the ill-advised deregulatory measures of the past 20 years, including the four key changes wrought by the Gramm-Leach-Bliley Act.
INTERNATIONAL MONETARY FUND
Abstract
The U.S. financial and economic crisis has had severe global repercussions. The run-up to the crisis involved a substantial and widespread underestimation of risks—especially in housing—and growing leverage and liquidity mismatches, in particular through off-balance-sheet vehicles and non-bank entities in less-regulated areas. Against a backdrop of easy global financial conditions, this dynamic fed an unsustainable buildup of financial imbalances, above all in housing markets. The sharp decline in housing prices that started in 2007 weakened several systemically important financial institutions, culminating in the collapse of Lehman Brothers, and revealing major weaknesses in the U.S. regulatory and resolution frameworks. This was followed by the worst global financial panic since the Great Depression, with extreme strains in a broad range of markets, volatility in capital flows and exchange rates, and a cascade of systemic events. Economic activity collapsed globally, with trade contracting sharply and advanced economies as a group registering the steepest decline in production in the postwar period. Emerging markets economies also experienced intense pressure, amid retrenching trade and tighter international financing conditions.
I. Overview ; Outlook and Risks
1. Recent data suggest that the sharp fall in output may now be ending, although economic activity remains weak. Economic indicators point to a decelerating rate of deterioration, particularly in labor and housing markets, both of which are key to economic recovery and financial stability. In tandem, financial conditions have noticeably improved, with narrowing interest-rate spreads and growing confidence in financial stability in the wake of measures deployed by the Administration, the Federal Deposit Insurance Corporation (FDIC), and the Federal Reserve. That said, both financial and economic indicators remain at stressed or weak levels by historical standards.
2. 4. The staff's outlook remains for a gradual recovery, consistent with past international experience of financial and housing market crises. The combination of financial strains and ongoing adjustments in the housing and labor markets is expected to restrain growth for some time, with a solid recovery projected to emerge only in mid-2010. Against this background, GDP is expected to contract by 2½ percent in 2009, followed by a modest ¾ percent expansion in 2010 on a year-average basis (on a Q4-over-Q4 basis, -1 ½ percent in 2009 and 1 ¾ percent in 2010). Meanwhile, growing economic slack—with unemployment peaking at close to 10 percent in 2010—would push core inflation to very low levels, with the headline CPI expected to decrease by ½ percent in 2009 and increase by 1 percent in 2010. rates, on concerns about fiscal sustainability; and rising corporate distress. Much will also depend on developments abroad, including progress made in strengthening financial institutions and markets.
II. Near-term stabilization
1. Macroeconomic policies are providing welcome support to demand. The fiscal stimulus—well targeted, timely, diversified, and sizeable—is projected to boost annual GDP growth by 1 percent in 2009 and ¼ percent in 2010. This is being appropriately complemented by a highly expansionary monetary stance and “credit easing” measures that are also relieving financial strains. Continued clear communication on the near-term outlook will be essential to anchor inflation expectations, given the prevailing uncertainty. If activity proves weaker than expected, the Fed could undertake additional credit easing, and further strengthen its commitment to maintain a highly accommodative stance. If necessary, additional fiscal stimulus could also be considered, focused on fast-acting measures, although this would need to be complemented by a concomitantly stronger medium-term adjustment.
2. Steps to s
Against the backdrop of important structural reforms and terms of trade gains, India recorded strong growth in recent years in both economic activity and financial assets. Increased diversification, commercial orientation, and technology-driven inclusion have supported growth in the financial industry, backed by improved legal, regulatory, and supervisory frameworks. Yet, the financial sector is grappling with significant challenges, and growth has recently slowed. High nonperforming assets (NPAs) and slow deleveraging and repair of corporate balance sheets are testing the resilience of the banking system and holding back investment and growth.
Financial Regulatory Reform: A New Foundation (1) Promote robust supervision and regulation of financial firms. Financial institutions that are critical to market functioning should be subject to strong oversight. No financial firm that poses a significant risk to the financial system should be unregulated or weakly regulated. We need clear accountability in financial oversight and supervision. We propose: • A new Financial Services Oversight Council of financial regulators to identify emerging systemic risks and improve interagency cooperation. • New authority for the Federal Reserve to supervise all firms that could pose a threat to financial stability, even those that do not own banks. • Stronger capital and other prudential standards for all financial firms, and even higher standards for large, interconnected firms. • A new National Bank Supervisor to supervise all federally chartered banks. • Elimination of the federal thrift charter and other loopholes that allowed some depository institutions to avoid bank holding company regulation by the Federal Reserve. • The registration of advisers of hedge funds and other private pools of capital with the SEC. (2) Establish comprehensive supervision of financial markets. Our major financial markets must be strong enough to withstand both system-wide stress and the failure of one or more large institutions. We propose: • Enhanced regulation of securitization markets, including new requirements for market transparency, stronger regulation of credit rating agencies, and a requirement that issuers and originators retain a financial interest in securitized loans. • Comprehensive regulation of all over-the-counter derivatives.
Personal Brand Statement:
As an Army veteran dedicated to lifelong learning, I bring a disciplined, strategic mindset to my pursuits. I am constantly expanding my knowledge to innovate and lead effectively. My journey is driven by a commitment to excellence, and to make a meaningful impact in the world.
Premium MEAN Stack Development Solutions for Modern BusinessesSynapseIndia
Stay ahead of the curve with our premium MEAN Stack Development Solutions. Our expert developers utilize MongoDB, Express.js, AngularJS, and Node.js to create modern and responsive web applications. Trust us for cutting-edge solutions that drive your business growth and success.
Know more: https://www.synapseindia.com/technology/mean-stack-development-company.html
Digital Transformation and IT Strategy Toolkit and TemplatesAurelien Domont, MBA
This Digital Transformation and IT Strategy Toolkit was created by ex-McKinsey, Deloitte and BCG Management Consultants, after more than 5,000 hours of work. It is considered the world's best & most comprehensive Digital Transformation and IT Strategy Toolkit. It includes all the Frameworks, Best Practices & Templates required to successfully undertake the Digital Transformation of your organization and define a robust IT Strategy.
Editable Toolkit to help you reuse our content: 700 Powerpoint slides | 35 Excel sheets | 84 minutes of Video training
This PowerPoint presentation is only a small preview of our Toolkits. For more details, visit www.domontconsulting.com
Event Report - SAP Sapphire 2024 Orlando - lots of innovation and old challengesHolger Mueller
Holger Mueller of Constellation Research shares his key takeaways from SAP's Sapphire confernece, held in Orlando, June 3rd till 5th 2024, in the Orange Convention Center.
B2B payments are rapidly changing. Find out the 5 key questions you need to be asking yourself to be sure you are mastering B2B payments today. Learn more at www.BlueSnap.com.
Top mailing list providers in the USA.pptxJeremyPeirce1
Discover the top mailing list providers in the USA, offering targeted lists, segmentation, and analytics to optimize your marketing campaigns and drive engagement.
3.0 Project 2_ Developing My Brand Identity Kit.pptxtanyjahb
A personal brand exploration presentation summarizes an individual's unique qualities and goals, covering strengths, values, passions, and target audience. It helps individuals understand what makes them stand out, their desired image, and how they aim to achieve it.
The world of search engine optimization (SEO) is buzzing with discussions after Google confirmed that around 2,500 leaked internal documents related to its Search feature are indeed authentic. The revelation has sparked significant concerns within the SEO community. The leaked documents were initially reported by SEO experts Rand Fishkin and Mike King, igniting widespread analysis and discourse. For More Info:- https://news.arihantwebtech.com/search-disrupted-googles-leaked-documents-rock-the-seo-world/
VAT Registration Outlined In UAE: Benefits and Requirementsuae taxgpt
Vat Registration is a legal obligation for businesses meeting the threshold requirement, helping companies avoid fines and ramifications. Contact now!
https://viralsocialtrends.com/vat-registration-outlined-in-uae/
[Note: This is a partial preview. To download this presentation, visit:
https://www.oeconsulting.com.sg/training-presentations]
Sustainability has become an increasingly critical topic as the world recognizes the need to protect our planet and its resources for future generations. Sustainability means meeting our current needs without compromising the ability of future generations to meet theirs. It involves long-term planning and consideration of the consequences of our actions. The goal is to create strategies that ensure the long-term viability of People, Planet, and Profit.
Leading companies such as Nike, Toyota, and Siemens are prioritizing sustainable innovation in their business models, setting an example for others to follow. In this Sustainability training presentation, you will learn key concepts, principles, and practices of sustainability applicable across industries. This training aims to create awareness and educate employees, senior executives, consultants, and other key stakeholders, including investors, policymakers, and supply chain partners, on the importance and implementation of sustainability.
LEARNING OBJECTIVES
1. Develop a comprehensive understanding of the fundamental principles and concepts that form the foundation of sustainability within corporate environments.
2. Explore the sustainability implementation model, focusing on effective measures and reporting strategies to track and communicate sustainability efforts.
3. Identify and define best practices and critical success factors essential for achieving sustainability goals within organizations.
CONTENTS
1. Introduction and Key Concepts of Sustainability
2. Principles and Practices of Sustainability
3. Measures and Reporting in Sustainability
4. Sustainability Implementation & Best Practices
To download the complete presentation, visit: https://www.oeconsulting.com.sg/training-presentations
Bài tập - Tiếng anh 11 Global Success UNIT 1 - Bản HS.doc.pdf
Treasury White Paper 02 2009
1. U.S. TREASURY DEPARTMENT
OFFICE OF PUBLIC AFFAIRS
FOR IMMEDIATE RELEASE CONTACT: Treasury Public Affairs
February 25, 2009 (202) 622-2960
TREASURY WHITE PAPER
The Capital Assistance Program and its role in the Financial Stability Plan
Program Motivation and Objectives
The financial system plays the critical role of channeling funds from savers in the
economy to the investors with the ideas and ability to turn those funds into productive
economic resources; no modern economy can thrive—can grow and improve the welfare
of its citizens over time—without a healthy and dynamic financial system. And no
financial system can thrive—can have strong institutions and deep and liquid capital
markets—without the trust and confidence of those who save knowing that their funds
will be protected and grow in value over time.
With the recent deterioration in the U.S. and global economic outlook, there has
been a marked increase in the already considerable uncertainty around the ability of
financial institutions to absorb potentially large future losses and continue to perform
their vital role of lending to creditworthy households and businesses throughout the
economy. If the current uncertainty around the health and viability of our financial
institutions continues unchecked, this uncertainty itself could spark a self-reinforcing
dynamic that further erodes the capacity of our financial system to perform its critical
function and further weakens economic growth.
Regulators and market participants recognize the critical role that the capital held
by financial institutions plays in supporting confidence in the health of those institutions
and of the system as a whole. While the vast majority of U.S. banking organizations
have capital in excess of the amounts required to be considered well capitalized, the
uncertain economic environment has eroded confidence in the amount and quality of
capital held by some. In turn, market participants’ concerns over the capital positions of
some institutions is impairing the ability of the system overall to perform its critical role
of credit origination and intermediation.
1
2. In normal times, market forces would be expected to address a capital shortfall as
private capital flowed to where it was in greatest demand and would yield the highest
return. But in the current strained environment where the normal functioning of financial
markets has been impaired, there is a concern that private capital inflows, at least over the
near-term, may not be sufficiently large to break the dynamic between the perceived
shortage of capital in the system and the loss of confidence that shortage engenders in the
health of individual institutions.
Recognizing that until confidence in the strength and viability of our financial
institutions is restored, our institutions will not be able to play their critical role as
intermediaries, the Capital Assistance Program (CAP) seeks to ensure the continued
ability of U.S. financial institutions to lend to creditworthy borrowers in the face of a
weaker than expected economic environment and larger than expected potential losses.
The CAP consists of two core elements. The first, which is a supervisory
exercise, is forward-looking capital assessment to determine whether any of the major
U.S. banking organizations need to establish an additional capital buffer during this
period of heightened uncertainty. The second is access for qualifying financial
institutions to contingent common equity provided by the U.S. government as a bridge to
private capital in the future.
Forward-Looking Capital Assessment
Supervisors have long worked with the major banking organizations to ensure that
their capital planning processes incorporate the implications of adverse economic
developments. As an essential part of restoring confidence in the condition of the U.S.
banking system during this period of heighted uncertainty, federal banking and thrift
supervisors will undertake a coordinated supervisory capital planning exercise with each
of 19 major U.S. banking organizations 1 .
This special forward-looking capital assessment exercise involves evaluating
expected losses and the resources to absorb those losses if economic conditions were to
be more adverse than generally expected. This exercise will allow supervisors to
determine whether an additional capital buffer today, particularly one that strengthens the
composition of capital, is needed for the banking organization to comfortably absorb
losses and continue lending even in a more adverse environment. Should this assessment
indicate the need for a bank to establish an additional capital buffer to withstand more
stressful conditions, the bank will have a six month window to raise that capital privately
or to access the capital made available by the Treasury under the CAP.
The additional capital acquired by a banking organization in conjunction with the
special supervisory assessment exercise—whether that capital is raised on the private
market or through the CAP—does not represent a new capital standard and it is not
1
Examinations will be conducted across the 19 banking organization with assets in excess of $100 billion,
as measured according to the data reported for 2008Q4 in the Board of Governors of the Federal Reserve
System Consolidated Financial Statements for Bank Holding Companies (FR Y-9C).
2
3. expected to be maintained on an ongoing basis. Instead, it is available to help banking
institutions absorb larger than expected future losses, should they occur, and to support
lending to creditworthy borrowers during the economic downturn.
CAP Contingent Common Capital
The capital provided to eligible banking organizations under this program will be
in the form of a preferred security that is convertible into common equity 2 . Market
participants pay particular attention to common equity as a measure of health in stressed
environments, and regulators have long believed that common equity should be the
dominant component of a banking organization’s highest quality forms of capital. The
convertible preferred security provided through the CAP will serve as a source of
contingent common capital for the firm, convertible into common equity when and if
needed to retain the confidence of investors or to meet supervisory expectations regarding
the amount and composition of capital.
The CAP instrument will be designed to give banks the incentive to redeem or
replace the government-provided capital with private capital when feasible. Finally, with
supervisory approval, banking organizations will be allowed to exchange their existing
TARP preferred stock for the new preferred instrument. The CAP is open immediately.
Eligibility will be consistent with the criteria and deliberative process established for
identifying Qualifying Financial Institutions (QFIs) in the TARP Capital Purchase
Program (CPP).
The economy functions better when banking organizations are well managed in
the private sector. U.S. government ownership is not an objective of CAP. However, to
the extent that significant government stake in a financial institution is an outcome of the
program, our goal will be to keep the period of government ownership as temporary as
possible and encourage the return of private capital to replace government investment. In
addition, any capital investments made by Treasury under this plan will be placed in a
separate trust set up to manage the government’s investments in US financial institutions.
The objective of the trustees will be to protect and create value for the taxpayer as a
shareholder over time.
Program Design Elements
A key component of the CAP is a one-time forward looking supervisory
assessment of the 19 largest bank holding companies (BHCs) (those with risk weighted
assets of $100 billion or more). Supervisors will use the results of this exercise, along
with their considerable specific knowledge of the financial institutions’ portfolios and
management strategies, to assess whether the BHCs have the capital necessary to
2
Eligibility for capital under the CAP is consistent with the criteria and process established for identifying
Qualifying Financial Institutions (QFIs) in the TARP Capital Purchase Program (CPP). As indicated
above, eligible U.S. banking organization with assets in excess of $100B will participate in the special
supervisory forward-looking capital assessment process whether or not they access the capital provided
under the CAP. Eligible U.S. banking organizations with assets less than $100B will also have the
opportunity to access the CAP to increase capital buffers as necessary.
3
4. continue lending and to absorb the potential losses that could result from a more severe
decline in the economy than projected.
To conduct this exercise, supervisors have constructed two economic scenarios
for BHCs to use to estimate expected losses over the next two years. The “baseline”
economic scenario represents a consensus outlook and is based on the most recent
forecasts available from professional forecasters. In particular, the baseline assumptions
for real GDP growth and the unemployment rate for 2009 and 2010 are assumed to be
equal to the average of the projections published in February by Consensus Forecasts, the
Blue Chip survey, and the Survey of Professional Forecasters. The alternative “more
adverse” scenario for the path of the U.S. economy, by design, reflects a deeper and
longer recession than in the consensus baseline.
The agencies will provide real GDP growth, the civilian unemployment rate, and
changes in residential house prices for 2009 and 2010 for the baseline and more adverse
economic scenarios. BHCs will be asked to analyze their loan and securities portfolios,
as well as off-balance sheet commitments and contingencies, to determine expected
future losses under each of the scenarios. The BHCs will also forecast internal resources
available to absorb losses, including pre-provision net revenue and reserves. The BHCs
will report their estimates using a standardized template provided by the agencies, and
will provide firm-level information to support their estimates.
An important part of the process is that the agencies will meet with each financial
institution to review their loss and revenue forecasts. Based on those discussions, the
agencies will determine the amount of a regulatory capital necessary for each institution
to hold today in order to remain well-capitalized under the more adverse scenario as
capital is drawn down.
BHCs will be given a six month period to raise any additional capital needed to
establish this buffer from private sources. BHCs can apply to the CAP immediately at
the conclusion of the assessment exercise to provide certainty of access to the program,
but delay funding for six months in order to have the opportunity to raise as much private
capital as possible. BHCs that have undergone this forward-looking capital test will have
access to Treasury capital in the form of mandatory convertible preferred shares. These
shares can convert at the firm’s discretion (with the approval of their regulator) into
common equity if needed to preserve lending in worse-than-expected economic
environment at a conversion price set at a 10% discount from the prevailing level of the
institution’s stock price as of February 9, 2009.
A program that emphasizes the forward-looking nature of the capital planning
process and pre-positions an additional capital buffer has important advantages relative to
capital provided only on a when-needed basis. Market participants will gain confidence
from the major U.S. banking organizations having undergone a systematic disciplined
exercise designed to prepare them for a more severe and protracted recession than is
currently generally expected to occur. A capital buffer today may be especially valuable
4
5. given the uncertainty about the economic outlook and about whether capital would be
available as needed if an unexpectedly adverse scenario unfolds.
A capital buffer also reduces the risk that problems at a very small number of
counterparties, through the many linkages across institutions, lead to the failure of
otherwise viable institutions. While some firms may be asked to hold more capital than
they might otherwise, the beneficial effects on confidence in the stability of the financial
system and the creditworthiness of borrowers should lead to more lending, not less.
By reassuring investors, creditors, and counterparties of financial institutions—as
well as the institutions themselves—that there is a sufficient amount and quality of
capital to withstand even a considerably weaker-than-expected economic environment--
the Capital Assistance Program should improve confidence and increase the willingness
of financial institutions to lend. This increase in lending, in turn, will help to stimulate
economic activity and restore to U.S. economy to a path of robust economic growth.
5