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I am having problems with these questions. I need answers in excel format with work by 5PM today 11/8/2016. Please let me know if you
I am having problems with these questions. I need answers in excel format with work by 5PM today 11/8/2016. Please let me know if you can help me.
UBPR REPORT https://cdr.ffiec.gov/public/SelectReportFormat.aspx? reportType=283&idrssd=852218&ReportPeriod=6%2f30%2f2016&Name=JPMORGAN+ CHASE+BANK%2c+NATIONAL+ASSOCIATION click link, press custom, press generate report. 6. CHAPTER 9 - From Page 4 of your UBPR, locate the amount for \"U.S. Treasury and Agency Securities.\" Use this amount and assume these investments are recorded at face value. Now, assume the following characteristics and calculate the duration of these investments. Explain the meaning of your duration calculation. 4.00% Coupon Rate Coupons Paid Semi-Annually 6 years to maturity For YTM, from Page 3 of your UBPR in the \"Yield on or Cost of\" section, use \"U.S. Treas & Agency (Excl MBS)\" 10. CHAPTER 11 - Calculate RAROC on the Commercial Loans. If the RAROC benchmark is the cost of funds plus 200 bps, calculate the benchmark and determine if the return on the commercial loans is acceptable. Explain RAROC. Use the following information: Amount: Locate the amount of \"Commercial Loans\" from Page 4 of UBPR Market Interest Rate: Use the \"Yield on Commercial and Industrial Loans\" from the last question Commitment Fee: 50 bps Term: 8.5 years Duration: 7.859 years Cost of Funds: Use \"All Interest-Bearing Funds\" from Page 3 of UBPR Max. Adverse Change in Risk Premium: 2.2% LN = -DLN LN R/(1+R) 15. CHAPTER 20 - Locate and document the three capital ratios discussed in class on Page 11 of your UBPR. Determine which Zone your bank is in. Now, on Page 11B, locate the section related to \"Risk-Weighted Assets.\" There is data for both \"On-Balance Sheet\" and \"Off-Balance Sheet\" Risk- Weighted Assets, plus information for the total of the two categories after some adjustments (\"Adjustments to Risk-Weighted Assets\"). Note that this amount already considers the risk weights. Use this amount. The capital information is on Page 11A (and includes CETI Capital (use adjusted data), Additional Tier I Capital, and Tier II Capital). Now, assume your bank liquidates half of Category One (0%) On-Balance Sheet assets to grow OnBalance Sheet Category 6 (100%) loans. Recalculate all four capital ratios. Explain the impact on each ratio and the resulting Zone as a result of your bank's new strategy. Part 2, if completed, calls for you to analyze the performance of your assigned bank. Unless indicated otherwise, perform the analysis using the most recent fiscal year. Remember that any dollar-based data is in 000's. Part 2 - BANK PERFORMANCE ANALYSIS - Using your bank's UBPR data and your work from Part 1, together with data you obtain from other sources (e.g.: Annual Report, the bank's web site, and the news). The following questions should help in narrowing your focus. Note, however, that Part 2 is not like Part 1 and the items you should cover are the ones relevant and interesting for your bank. On all pages of the UBPR, I suggest you look for trends and deviations from the PG. Page 6 - Balance Sheet Percentage Composition (common-sized) a. Rank your bank's largest asset categories. Evaluate the trend. Compare the mix and composition to the PG. b. Using the most recent data and based on your bank's asset composition, form an expectation about the impact on earnings. For example, if investments were sold to fund growth in the loan portfolio, you should expect net interest income to be higher. c. How has your bank's loan portfolio changed over time? How does it compare to its PG? How should this affect earnings? d. Consider how your bank is being funded and the cost of funds based on the liability composition. e. How leveraged is your bank? How does it compare to the PG? Page 7A - Analysis of Credit Allowance and Loan Mix a. Rank the mix of your bank's loan portfolio. How has the mix of loan types changed and how does it compare to the PG? b. How does the mix inform expected earnings? c. How does the mix inform expected risk? Page 10A - Liquidity & Investment Portfolio a. Rank the mix of your bank's investments. How has the composition changed and how does it compare to the PG? b. How does the trend affect risk and expected returns? Page 4 - Balance Sheet $ a. Evaluate scale based on the dollar-based balance sheet. Page 5 - Off Balance Sheet Items a. Consider the potential impact on both the balance sheet and potential incremental risk and return from OBS items. Page 5A & 5B - Derivative Instruments a. Discuss how the back is hedging its balance sheet to protect expected earnings based on derivative products, and the type it has selected. Pages 7, 8 & 8A - Analysis of Credit Allowance and Loan Mix / Analysis of Past Due, Nonaccrual, and Restructured a. Use these report to dig deeper into the quality of the loan portfolio. b. Consider the adequacy of reserves based on past due and non-accrual status. Page 1 - Summary Ratios a. Evaluate ratios and compare to previously formed expectations. How profitable is your bank compared to the PG? b. Discuss and compare your bank's ROA and ROE. c. Discuss the performance of your bank based on the asset utilization ratio. d. What is your bank's loan/deposit ratio? What does this tell you? Page 3 - Noninterest Income, Expenses, and Yields a. Evaluate trend data and compare PG data for non-interest expense. b. Evaluate trend data and compare PG data for returns (yields) and cost of funds. What is your bank's least expensive funding source? Most expensive? c. Compare findings to previously formed expectations. Page 2 - Income Statement $ a. Evaluate scale based on the dollar-based income statement. Page 9 - Interest Rate Risk Analysis As A Percent of Assets a. Use this report to ascertain additional risk factors, primarily those sourced from Interest Rate Risk. Page 10 - Liquidity and Funding a. Determine your banks liquidity risks based on its funding sources, particularly the concentration of and dependency on brokered deposits. Pages 11, 11A and 11B - Capital Analysis a. Evaluate the capital composition (type) and the capital adequacy ratio trends and compare to the PG. b. Determine how a change in the asset mix affects risk-based capital. c. Calculate/consider the loss and growth capacity in your bank's capital structureStep by Step Solution
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