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Bank Profitability: Decoding the Income Statement

Tom Spencer

The interest rate set by the central bank serves as a benchmark or reference rate for banks. It reflects the bank’s assessment of potential losses it may incur and its commitment to maintaining a strong balance sheet. Income tax and indirect tax are two additional types of taxes levied by governments.

Banking 88
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Your Company Needs a More-Radical Board of Directors

Harvard Business

My guess is that while a poor balance sheet might cause restless sleep, it’s the thought of an incorrectly reported balance sheet that brings on night terrors. This is not surprising: Growing regulation, increased investor focus on governance issues, and scary new categories of corporate risk (e.g.

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Pettis on Strains in China's Banking System; Avoiding the Fall

MishTalk

While the benchmark deposit rate was officially lowered from 3.00% to 2.75%, the upper limit that banks can pay for deposits remained unchanged at 3.30%. It may seem strange to have both a benchmark rate and a “floating range” that establishes a cap, instead of just setting a cap, as was the case until very recently.

Banking 71
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BIS Slams the Fed; Ridiculous Question of the Day: "Is The Fed Going To Attempt A Controlled Collapse?"

MishTalk

Government debt-to-GDP ratios have risen further; in several cases, they appear to be on an unsustainable path. Historical evidence shows that this rarely happens following a balance sheet recession. They are simply too slow-moving for policymakers and observers whose attention is focused on shorter-term output fluctuations.

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You Don’t Need to Be a Silicon Valley Startup to Have a Network-Based Strategy

Harvard Business

Others, like Morning Star and Zappos, are taking a more networked approach to the way the company is managed and governed. For most companies intellectual property is something that sits on their balance sheet. Intellectual capital.

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Reflections on 2013; What's Important, What's Not? What's Ahead?

MishTalk

Had I suggested in 2007 that the Fed balance sheet expansion of $75 billion a month would have been considered "tightening" people would have thought I was nuts. Ironically, Merkel immediately followed up with " The German government would not tolerate a weakening of German industry or job losses ". Here we are. The broad U.S.