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Bank Profitability: Decoding the Income Statement

Tom Spencer

For the sake of simplicity, we will present the information in a consolidated manner. The interest rate set by the central bank serves as a benchmark or reference rate for banks. The biggest swing in operating expenses is likely to be variable compensation. Image 3: Illustrative example of a bank’s operating expenses 4.

Banking 88
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BIS Slams the Fed; Ridiculous Question of the Day: "Is The Fed Going To Attempt A Controlled Collapse?"

MishTalk

This has been labelled the “second phase of global liquidity”, to differentiate it from the pre-crisis phase, which was largely centred on banks expanding their cross-border operations. Historical evidence shows that this rarely happens following a balance sheet recession.