Talk:Capital requirement

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Contents 1 Citibank Assets 2 Perhaps the tone should be adjusted slightly to sound more fair and balanced, and some unsensible concepts be clarified 3 Headline 4 Include insurance companies?

[edit] Citibank Assets

The Citibank example showing "Components of Capital under Regulatory Guidelines" states numbers are in $million. The 2003 risk adjusted assets were $750,293. Seems a bit high ($750 trillion).192.26.212.72 (talk) 19:22, 25 April 2008 (UTC)

[edit] Perhaps the tone should be adjusted slightly to sound more fair and balanced, and some unsensible concepts be clarified

I think some changed to the second paragraph about inflation adjustments etc should be clarified or changed. For example the "...has destroyed bank credit analysis departments" etc. Also the inflation adjustment explanation doesn't make any sense to me. If the bank has 10 equity, 90 deposits and 100 loaned out with a risk weight of 1.0 to simplify. Why would only the capital value be adjusted for inflation and not the lended out money? It doesn't make any sense. Is the loans in another currency than the capital? -- 16:30, 24 August 2007 (UTC)

[edit] Headline

Basel II supersedes Basel I. Thus this is somewhat obsolete now and applies only to the few countries that have opted out of the Basel II accord (most notably China, India and the US (Basel II only applies to some 10 of the largest banks).

INDIA is committed to honour BASEL-II norms. And, the Reserve Bank of India, the central supervisory bank in India, is already making changes in the financial sector to make all banks align their financial position/structures with those of Basle-II norms, which shall be applicable from 31.03.2007. A major offshoot of these steps is the need to raise a lot of capital from the domestic and international market by many major Indian banks.

what is meant by Average total consolidated assets ?

is leverage ratio is not debt to equity ratio ? please clarify the leverage in context of Capital Requirement.

[edit] Include insurance companies?

I think insurance companies have to adhere to capital requirements, too, but they seem to be excluded from this article.
The sentence

The capital requirement is a bank regulation, which sets a framework on how banks and depository institutions must handle their capital

could be replaced by

The capital requirement is a regulation, which sets a framework on how banks, depository institutions and insurance companies must handle their capital.ML-Est 17:04, 24 June 2007 (UTC)