icici bank data and crar

8/6/2019 Icici Bank Data and Crar

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al adequacy ratio (CAR), also called Capital to Risk (Weighted) Assets Ratio (CRAR)[1], is aratio of a bank'scapitalto itsrisk.National

ators track a bank's CARto ensure that it can absorb a reasonable amount of loss and complies with statutory Capital requirements.

Contents

[hide]

1 Formula

2 Use

3 Risk weighting

3.1 Risk

weighting

example

4 Types of capital

5 See also

6 References

7 External links

Formula

al adequacy ratios ("CAR") are a measure of the amount of a bank'score capitalexpressed as apercentageof itsassetsweightedcreditex

al adequacy ratio is defined as

1 CAPITAL -A)Equity Capital, B) Disclosed Reserves

2 CAPITAL -A)Undisclosed Reserves, B)General Loss reserves, C)Subordinate Term Debts

e Riskcan either be weightedassets( ) or the respective national regulator'sminimum totalcapitalrequirement. If using risk weighted ass

10%.[1]

ercent threshold varies from bank to bank (10% in this case, a common requirement for regulators conforming to theBasel Accords) is set

nal banking regulator of different countries.

ypes of capital are measured:tier one capital (T1 above), which can absorb losses without abank being required to cease trading, and tier

al (T2 above), which can absorb losses in the event of a winding-up and so provides a lesser degree of protection to depositors.
http://en.wikipedia.org/wiki/Ratiohttp://en.wikipedia.org/wiki/Ratiohttp://en.wikipedia.org/wiki/Bankhttp://en.wikipedia.org/wiki/Bankhttp://en.wikipedia.org/wiki/Financial_capitalhttp://en.wikipedia.org/wiki/Financial_capitalhttp://en.wikipedia.org/wiki/Financial_capitalhttp://en.wikipedia.org/wiki/Riskhttp://en.wikipedia.org/wiki/Riskhttp://en.wikipedia.org/wiki/Riskhttp://en.wikipedia.org/wiki/Bank_regulationhttp://en.wikipedia.org/wiki/Bank_regulationhttp://en.wikipedia.org/wiki/Bank_regulationhttp://en.wikipedia.org/wiki/Capital_requirementhttp://en.wikipedia.org/wiki/Capital_requirementhttp://en.wikipedia.org/wiki/Capital_adequacy_ratiohttp://en.wikipedia.org/wiki/Capital_adequacy_ratiohttp://en.wikipedia.org/wiki/Capital_(economics)http://en.wikipedia.org/wiki/Capital_(economics)http://en.wikipedia.org/wiki/Capital_(economics)http://en.wikipedia.org/wiki/Percentagehttp://en.wikipedia.org/wiki/Percentagehttp://en.wikipedia.org/wiki/Percentagehttp://en.wikipedia.org/wiki/Assetshttp://en.wikipedia.org/wiki/Assetshttp://en.wikipedia.org/wiki/Assetshttp://en.wikipedia.org/wiki/Credit_(finance)http://en.wikipedia.org/wiki/Credit_(finance)http://en.wikipedia.org/wiki/Credit_(finance)http://en.wikipedia.org/wiki/Riskhttp://en.wikipedia.org/wiki/Riskhttp://en.wikipedia.org/wiki/Assethttp://en.wikipedia.org/wiki/Assethttp://en.wikipedia.org/wiki/Assethttp://en.wikipedia.org/wiki/Bank_regulationhttp://en.wikipedia.org/wiki/Bank_regulationhttp://en.wikipedia.org/wiki/Financial_capitalhttp://en.wikipedia.org/wiki/Financial_capitalhttp://en.wikipedia.org/wiki/Financial_capitalhttp://en.wikipedia.org/wiki/Assethttp://en.wikipedia.org/wiki/Basel_Accordshttp://en.wikipedia.org/wiki/Basel_Accordshttp://en.wikipedia.org/wiki/Tier_1_capitalhttp://en.wikipedia.org/wiki/Tier_1_capitalhttp://en.wikipedia.org/wiki/Bankhttp://en.wikipedia.org/wiki/Bankhttp://en.wikipedia.org/wiki/Tier_2_capitalhttp://en.wikipedia.org/wiki/Tier_2_capitalhttp://en.wikipedia.org/wiki/Ratiohttp://en.wikipedia.org/wiki/Bankhttp://en.wikipedia.org/wiki/Financial_capitalhttp://en.wikipedia.org/wiki/Riskhttp://en.wikipedia.org/wiki/Bank_regulationhttp://en.wikipedia.org/wiki/Bank_regulationhttp://en.wikipedia.org/wiki/Capital_requirementhttp://en.wikipedia.org/wiki/Capital_adequacy_ratiohttp://en.wikipedia.org/wiki/Capital_(economics)http://en.wikipedia.org/wiki/Percentagehttp://en.wikipedia.org/wiki/Assetshttp://en.wikipedia.org/wiki/Credit_(finance)http://en.wikipedia.org/wiki/Riskhttp://en.wikipedia.org/wiki/Assethttp://en.wikipedia.org/wiki/Bank_regulationhttp://en.wikipedia.org/wiki/Financial_capitalhttp://en.wikipedia.org/wiki/Assethttp://en.wikipedia.org/wiki/Basel_Accordshttp://en.wikipedia.org/wiki/Tier_1_capitalhttp://en.wikipedia.org/wiki/Bankhttp://en.wikipedia.org/wiki/Tier_2_capitalhttp://en.wikipedia.org/wiki/Tier_2_capital


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Use

al adequacy ratio is the ratio which determines the capacity of the bank in terms of meeting the time liabilities and other risks such as credit

tional risk, etc. In the most simple formulation, a bank's capital is the "cushion" for potential losses, which protects the bank's depositors or

rs.Banking regulators in most countries define and monitorCARto protect depositors, thereby maintaining confidence in the banking syste

s similar to leverage; in the most basic formulation, it is comparable to the inverse ofdebt-to-equityleverage formulations (although CAR u

y overassetsinstead ofdebt-to-equity; sinceassets are by definition equal to debtplus equity, a transformation is required). Unlike

onalleverage, however, CAR recognizes thatassetscan have different levels ofrisk.

Risk weighting

different types ofassets have different risk profiles, CAR primarily adjusts forassetsthat are lessrisky by allowing banks to "discount" low

ssets. The specifics of CAR calculation vary from country to country, but general approaches tend to be similar for countries that apply the

ds. In the most basic application, governmentdebt is allowed a 0% "risk weighting" - that is, they are subtracted from total assets for purpo

ating the CAR.

Risk weighting example

weighted assets - Fund Based : Risk weighted assets mean fund based assets such as cash, loans, investments and other assets. Degre

risk expressed as percentage weights have been assigned by RBI to each such assets.

funded (Off-Balance sheet) Items : The credit risk exposure attached to off-balance sheet items has to be first calculated by multiplying th

nt of each of the off-balance sheet items by the credit conversion factor. This will then have to be again multiplied by the relevant weightage

regulations establish thatcashandgovernment bonds have a 0% risk weighting, andresidentialmortgage loans have a 50% risk weighting

types ofassets (loans to customers) have a 100% risk weighting.

"A"has assets totaling 100 units, consisting of:

Cash: 10 units.

Government bonds: 15 units.

Mortgage loans: 20 units.

Otherloans: 50 units.

Otherassets: 5 units.

"A"has debt of 95 units, all of which are deposits. By definition,equity is equal to assets minus debt, or 5 units.

A's risk-weighted assets are calculated as follows

10 * 0% = 0

rnment securities 15 * 0% = 0
http://en.wikipedia.org/wiki/Credit_(finance)http://en.wikipedia.org/wiki/Credit_(finance)http://en.wikipedia.org/wiki/Bank_regulationhttp://en.wikipedia.org/wiki/Bank_regulationhttp://en.wikipedia.org/wiki/Leverage_(finance)http://en.wikipedia.org/wiki/Leverage_(finance)http://en.wikipedia.org/wiki/Inversehttp://en.wikipedia.org/wiki/Debthttp://en.wikipedia.org/wiki/Debthttp://en.wikipedia.org/wiki/Ownership_equityhttp://en.wikipedia.org/wiki/Ownership_equityhttp://en.wikipedia.org/wiki/Assetshttp://en.wikipedia.org/wiki/Assetshttp://en.wikipedia.org/wiki/Assetshttp://en.wikipedia.org/wiki/Debthttp://en.wikipedia.org/wiki/Debthttp://en.wikipedia.org/wiki/Assethttp://en.wikipedia.org/wiki/Debthttp://en.wikipedia.org/wiki/Debthttp://en.wikipedia.org/wiki/Leverage_(finance)http://en.wikipedia.org/wiki/Leverage_(finance)http://en.wikipedia.org/wiki/Assetshttp://en.wikipedia.org/wiki/Assetshttp://en.wikipedia.org/wiki/Assetshttp://en.wikipedia.org/wiki/Riskhttp://en.wikipedia.org/wiki/Riskhttp://en.wikipedia.org/wiki/Riskhttp://en.wikipedia.org/wiki/Assetshttp://en.wikipedia.org/wiki/Risk_profileshttp://en.wikipedia.org/wiki/Risk_profileshttp://en.wikipedia.org/wiki/Assetshttp://en.wikipedia.org/wiki/Assetshttp://en.wikipedia.org/wiki/Assetshttp://en.wikipedia.org/wiki/Riskhttp://en.wikipedia.org/wiki/Riskhttp://en.wikipedia.org/wiki/Assetshttp://en.wikipedia.org/wiki/Assetshttp://en.wikipedia.org/wiki/Basel_Accordhttp://en.wikipedia.org/wiki/Basel_Accordhttp://en.wikipedia.org/wiki/Basel_Accordhttp://en.wikipedia.org/wiki/Basel_Accordhttp://en.wikipedia.org/wiki/Governmenthttp://en.wikipedia.org/wiki/Debthttp://en.wikipedia.org/wiki/Debthttp://en.wikipedia.org/wiki/Assetshttp://en.wikipedia.org/wiki/Bank_regulationhttp://en.wikipedia.org/wiki/Cashhttp://en.wikipedia.org/wiki/Cashhttp://en.wikipedia.org/wiki/Cashhttp://en.wikipedia.org/wiki/Government_bondshttp://en.wikipedia.org/wiki/Government_bondshttp://en.wikipedia.org/wiki/Residentialhttp://en.wikipedia.org/wiki/Residentialhttp://en.wikipedia.org/wiki/Residentialhttp://en.wikipedia.org/wiki/Mortgage_loanhttp://en.wikipedia.org/wiki/Assetshttp://en.wikipedia.org/wiki/Assetshttp://en.wikipedia.org/wiki/Cashhttp://en.wikipedia.org/wiki/Government_bondshttp://en.wikipedia.org/wiki/Government_bondshttp://en.wikipedia.org/wiki/Mortgage_loanhttp://en.wikipedia.org/wiki/Loanshttp://en.wikipedia.org/wiki/Loanshttp://en.wikipedia.org/wiki/Assetshttp://en.wikipedia.org/wiki/Ownership_equityhttp://en.wikipedia.org/wiki/Ownership_equityhttp://en.wikipedia.org/wiki/Assetshttp://en.wikipedia.org/wiki/Debthttp://en.wikipedia.org/wiki/Debthttp://en.wikipedia.org/wiki/Credit_(finance)http://en.wikipedia.org/wiki/Bank_regulationhttp://en.wikipedia.org/wiki/Leverage_(finance)http://en.wikipedia.org/wiki/Inversehttp://en.wikipedia.org/wiki/Debthttp://en.wikipedia.org/wiki/Ownership_equityhttp://en.wikipedia.org/wiki/Assetshttp://en.wikipedia.org/wiki/Debthttp://en.wikipedia.org/wiki/Assethttp://en.wikipedia.org/wiki/Debthttp://en.wikipedia.org/wiki/Leverage_(finance)http://en.wikipedia.org/wiki/Assetshttp://en.wikipedia.org/wiki/Riskhttp://en.wikipedia.org/wiki/Assetshttp://en.wikipedia.org/wiki/Risk_profileshttp://en.wikipedia.org/wiki/Assetshttp://en.wikipedia.org/wiki/Riskhttp://en.wikipedia.org/wiki/Assetshttp://en.wikipedia.org/wiki/Basel_Accordhttp://en.wikipedia.org/wiki/Basel_Accordhttp://en.wikipedia.org/wiki/Governmenthttp://en.wikipedia.org/wiki/Debthttp://en.wikipedia.org/wiki/Assetshttp://en.wikipedia.org/wiki/Bank_regulationhttp://en.wikipedia.org/wiki/Cashhttp://en.wikipedia.org/wiki/Government_bondshttp://en.wikipedia.org/wiki/Residentialhttp://en.wikipedia.org/wiki/Mortgage_loanhttp://en.wikipedia.org/wiki/Assetshttp://en.wikipedia.org/wiki/Assetshttp://en.wikipedia.org/wiki/Cashhttp://en.wikipedia.org/wiki/Government_bondshttp://en.wikipedia.org/wiki/Mortgage_loanhttp://en.wikipedia.org/wiki/Loanshttp://en.wikipedia.org/wiki/Assetshttp://en.wikipedia.org/wiki/Ownership_equityhttp://en.wikipedia.org/wiki/Assetshttp://en.wikipedia.org/wiki/Debt


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gage loans 20 * 50% = 10

loans 50 * 100% = 50

assets 5 * 100% = 5

Total risk

hted assets 65

y 5

(Equity/RWA) 7.69%

though Bank "A"would appear to have a debt-to-equityratioof 95:5, or equity-to-assetsof only 5%, its CAR is substantially higher. It is con

sky because some of its assets are less risky than others.

Types of capital

Basel rulesrecognize that different types of equity are more important than others. To recognize this, different adjustments are made:

1. Tier I Capital: Actual contributed equity plus retained earnings.

2. Tier II Capital: Preferred shares plus 50% ofsubordinated debt.

ent minimum CAR ratios are applied: minimumTier Iequityto risk-weightedassetsmay be 4%, while minimum CAR includingTier II capita

is usually a maximum ofTier II capital that may be "counted" towards CAR, depending on thejurisdiction.

See also

Capital requirement

Tier 1 capital

Tier 2 capital

Basel accords
http://en.wikipedia.org/wiki/Ownership_equityhttp://en.wikipedia.org/wiki/Ownership_equityhttp://en.wikipedia.org/wiki/Debthttp://en.wikipedia.org/wiki/Ownership_equityhttp://en.wikipedia.org/wiki/Ratiohttp://en.wikipedia.org/wiki/Ratiohttp://en.wikipedia.org/wiki/Assetshttp://en.wikipedia.org/wiki/Assetshttp://en.wikipedia.org/wiki/Riskhttp://en.wikipedia.org/wiki/Assetshttp://en.wikipedia.org/wiki/Basel_Accordhttp://en.wikipedia.org/wiki/Basel_Accordhttp://en.wikipedia.org/wiki/Subordinated_debthttp://en.wikipedia.org/wiki/Subordinated_debthttp://en.wikipedia.org/wiki/Tier_1_capitalhttp://en.wikipedia.org/wiki/Tier_1_capitalhttp://en.wikipedia.org/wiki/Ownership_equityhttp://en.wikipedia.org/wiki/Ownership_equityhttp://en.wikipedia.org/wiki/Ownership_equityhttp://en.wikipedia.org/wiki/Riskhttp://en.wikipedia.org/wiki/Assetshttp://en.wikipedia.org/wiki/Assetshttp://en.wikipedia.org/wiki/Assetshttp://en.wikipedia.org/wiki/Tier_2_capitalhttp://en.wikipedia.org/wiki/Tier_2_capitalhttp://en.wikipedia.org/wiki/Tier_2_capitalhttp://en.wikipedia.org/wiki/Tier_2_capitalhttp://en.wikipedia.org/wiki/Jurisdictionhttp://en.wikipedia.org/wiki/Jurisdictionhttp://en.wikipedia.org/wiki/Capital_requirementhttp://en.wikipedia.org/wiki/Capital_requirementhttp://en.wikipedia.org/wiki/Tier_1_capitalhttp://en.wikipedia.org/wiki/Tier_1_capitalhttp://en.wikipedia.org/wiki/Tier_2_capitalhttp://en.wikipedia.org/wiki/Tier_2_capitalhttp://en.wikipedia.org/wiki/Basel_accordhttp://en.wikipedia.org/wiki/Ownership_equityhttp://en.wikipedia.org/wiki/Debthttp://en.wikipedia.org/wiki/Ownership_equityhttp://en.wikipedia.org/wiki/Ratiohttp://en.wikipedia.org/wiki/Assetshttp://en.wikipedia.org/wiki/Riskhttp://en.wikipedia.org/wiki/Assetshttp://en.wikipedia.org/wiki/Basel_Accordhttp://en.wikipedia.org/wiki/Subordinated_debthttp://en.wikipedia.org/wiki/Tier_1_capitalhttp://en.wikipedia.org/wiki/Ownership_equityhttp://en.wikipedia.org/wiki/Riskhttp://en.wikipedia.org/wiki/Assetshttp://en.wikipedia.org/wiki/Tier_2_capitalhttp://en.wikipedia.org/wiki/Tier_2_capitalhttp://en.wikipedia.org/wiki/Jurisdictionhttp://en.wikipedia.org/wiki/Capital_requirementhttp://en.wikipedia.org/wiki/Tier_1_capitalhttp://en.wikipedia.org/wiki/Tier_2_capitalhttp://en.wikipedia.org/wiki/Basel_accord


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References

1. ^abc"Capital Adequacy Ratio - CAR".Investopedia. Retrieved 2007-07-10.

External links

Capital Adequacy Ratio atInvestopedia.
http://www.investopedia.com/terms/c/capitaladequacyratio.asphttp://www.investopedia.com/terms/c/capitaladequacyratio.asphttp://www.investopedia.com/terms/c/capitaladequacyratio.asphttp://en.wikipedia.org/wiki/Investopediahttp://en.wikipedia.org/wiki/Investopediahttp://www.investopedia.com/terms/c/capitaladequacyratio.asphttp://en.wikipedia.org/wiki/Investopediahttp://en.wikipedia.org/wiki/Investopediahttp://www.investopedia.com/terms/c/capitaladequacyratio.asphttp://en.wikipedia.org/wiki/Investopediahttp://www.investopedia.com/terms/c/capitaladequacyratio.asphttp://en.wikipedia.org/wiki/Investopedia


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Share price performance intraday

Share price performance previous 3 years

DIVIDEND INFODividend Declared Date 05/14/2

Dividend Ex-Date 06/09/2

Dividend Record Date 06/11/2

Dividend Pay Date 07/02/2

Dividend Amount

Type of Payment Cash Paym

Dividend Rate

Current Dividend Yield

5-Y Average Dividend Yield

Payout Ratio 4

5-Y Average Payout Ratio 4

Balance Sheet (at a glance) in MillionsKEY FIGURES (Latest Twelve Months - LTM)

esterday's Close 50.38 $

PE Ratio - LTM 5.2

Market Capitalisation 29,004.3 mil

atest Shares Outstanding 575.7 mil

arnings pS (EPS) 0.93 $

Dividend pS (DPS) 0.46

Dividend Yield 1.0 %

Dividend Payout Ratio 49 %

Revenue per Employee 179,261 $

ffective Tax Rate 0.0 %

loat 0.0 mil

loat as % of Shares Outstanding 0.0 %

oreign Sales -

Domestic Sales -

elling, General & Adm/tive (SG&A) as % of Revenue -

Research & Devlopment (R&D) as % of Revenue -

Gross Profit Margin -

BITDA Margin 46.6 %

Pre-Tax Profit Margin 13.5 %

Assets Turnover 0.0 %

Return on Assets (ROA) 2.2 %

Return on Equity (ROE) 15.4 %

Return on Capital Invested (ROCI) 15.4 %

Current Ratio -

everage Ratio (Assets/Equity) 7.1

nterest Cover 1.4otal Debt/Equity (Gearing Ratio) 0.00

T Debt/Total Capital 0.0 %

Working Capital pS -

Cash pS -

ook-Value pS 21.53 $

angible Book-Value pS 21.53 $

Cash Flow pS 3.31 $

ree Cash Flow pS 10.75 $

KEY FIGURES (LTM): Price info

Price/Book Ratio 2.34

Price/Tangible Book Ratio 2.34

Price/Cash Flow 15.2

Price/Free Cash Flow 4.7

P/E as % of Industry Group 906.0 %

P/E as % of Sector Segment 5,166.0 %
http://in.advfn.com/p.php?pid=charts&symbol=NY%5EIBN&period=1&freq=0http://in.advfn.com/p.php?pid=charts&symbol=NY%5EIBN&period=7&freq=6http://in.advfn.com/cmn/help/helptree.php?id=172http://in.advfn.com/cmn/help/helptree.php?id=172


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