{"id":2746,"date":"2008-08-29T12:27:31","date_gmt":"2008-08-29T16:27:31","guid":{"rendered":"http:\/\/www.prefblog.com\/?p=2746"},"modified":"2008-08-29T12:27:31","modified_gmt":"2008-08-29T16:27:31","slug":"bank-capitalization-summary-3q08","status":"publish","type":"post","link":"https:\/\/prefblog.com\/?p=2746","title":{"rendered":"Bank Capitalization Summary: 3Q08"},"content":{"rendered":"

The Big-Six banks have now all released their 2Q08 financials. The results may now be summarized, with the links pointing to the PrefBlog posts reporting on the quarterly reports:<\/p>\n

\n\n\n\n\n\n\n\n\n\n\n\n
Big-6 Capitalization Summary
\n3Q08<\/td>\n<\/tr>\n
 <\/td>\nNote<\/td>\nRY<\/a><\/td>\nBNS<\/a><\/td>\nBMO<\/a><\/td>\nTD<\/a><\/td>\nCM<\/a><\/td>\nNA<\/a><\/td>\n<\/tr>\n
Equity Capital<\/td>\nA<\/td>\n17,892<\/td>\n16,310<\/td>\n13,609<\/td>\n13,563<\/td>\n8,695<\/td>\n3,930<\/td>\n<\/tr>\n
Preferreds Outstanding<\/td>\nB<\/td>\n2,552<\/td>\n2,560<\/td>\n1,996<\/td>\n2,175<\/td>\n2,931<\/td>\n774<\/td>\n<\/tr>\n
Issuance Capacity<\/td>\nC<\/td>\n1,400<\/td>\n1,671<\/td>\n1,386<\/td>\n1,877<\/td>\n790<\/td>\n78<\/td>\n<\/tr>\n
Equity \/ Risk Weighted Assets<\/td>\nD<\/td>\n7.04%<\/td>\n7.22%<\/td>\n7.47%<\/td>\n7.34%<\/td>\n7.33%<\/td>\n7.07%<\/td>\n<\/tr>\n
Tier 1 Ratio<\/td>\nE<\/td>\n9.5%<\/td>\n9.8%<\/td>\n9.9%<\/td>\n9.5%<\/td>\n9.8%<\/td>\n10.0%<\/td>\n<\/tr>\n
Total Capital Ratio<\/td>\nF<\/td>\n11.7%<\/td>\n11.5%<\/td>\n12.3%<\/td>\n13.4%<\/td>\n14.4%<\/td>\n13.9%<\/td>\n<\/tr>\n
Assets to Capital Multiple<\/td>\nG<\/td>\n19.4x<\/td>\n17.8x<\/td>\n15.9x<\/td>\n17.9x<\/td>\n17.7x<\/td>\n15.7x<\/td>\n<\/tr>\n
A<\/b> is a measure of the size of the bank
\nB<\/b> is … um … how many preferreds. Are outstanding
\nC<\/b> is how many more (million CAD) they could issue if they so chose
\nD<\/b> is a measure of the safety of the preferreds – the first loss buffer, expressed as a percentage of their Risk-Weighted Assets. Higher is better. It may be increased by issuing common (or making some money and keeping it); preferred issuance will not change it.
\nE<\/b> is the number that OSFI and fixed-income investors will be watching. Higher is better, and it may be increased by issuing preferreds.
\nF<\/b> is less sexy than E, but still important.
\nG<\/b> is even less sexy than F, but PAY ATTENTION!<\/td>\n<\/tr>\n<\/table>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

The Big-Six banks have now all released their 2Q08 financials. The results may now be summarized, with the links pointing to the PrefBlog posts reporting on the quarterly reports: Big-6 Capitalization Summary 3Q08   Note …<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[25],"tags":[],"class_list":["post-2746","post","type-post","status-publish","format-standard","hentry","category-regulatory-capital"],"_links":{"self":[{"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/posts\/2746","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=2746"}],"version-history":[{"count":0,"href":"https:\/\/prefblog.com\/index.php?rest_route=\/wp\/v2\/posts\/2746\/revisions"}],"wp:attachment":[{"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=2746"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=2746"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/prefblog.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=2746"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}