August 7, 2015
In a recent publication, Bloomberg Markets announced the world’s top 20 strongest banks based on their analysis. The five categories on the basis of which banks were evaluated for this analysis were:
1. The ratio of a bank’s tier 1 capital to its risk-weighted assets accounted for 40% of each bank’s overall score.
2. The ratio of nonperforming assets to total assets got a weighting of 20%.
3. The ratio of reserves for loan losses to nonperforming assets also accounted for 20%.
4. The ratio of deposits to funding accounted for 15% of the scor ...