Question
You are working on the analysis of the liquidity coverage ratio (LCR) for a bank and collected the following information. Total Assets = $220M HQLA
You are working on the analysis of the liquidity coverage ratio (LCR) for a bank and collected the following information.
Total Assets = $220M
HQLA = $37.8M
Equity = $25M
Total Liabilities = $195M
List of Liabilities
Stable retail deposits = $75M; Run-off factor =3%
Other deposits = $100M; Run-off factor =10%
Commercial paper (Maturity < 30 days) = $20M; Run-off factor =100%
In the context of the calculation of net inflows, you determined that there are no inflows and no off-balance sheet commitments. Using this information, the liquidity coverage ratio (LCR) for the bank is:
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Mastering Attribution In Finance
Authors: Andrew Colin
1st Edition
1292114029, 978-1292114026
