IDC Financial Publishing, Inc. (IDCFP) uses the acronym CAMEL and its component financial ratios to evaluate the safety and soundness of commercial banks and savings institutions. This article explains how IDCFP uses the bank capital requirements ratios as a component of its CAMEL ranking system and why it is valuable…
IDCFP Estimates Brokered Time Deposits Less Than $250,000 with or without CUSIPs and Sweep Accounts vs. Reported Total Brokered Deposits, Reciprocals, and Brokered Time Deposits over $250,000 IDC Financial Publishing, Inc. (IDCFP)’s estimate of brokered time deposits less than $250,000 for banks is calculated as total brokered deposits, less…
The growth dynamics in brokered CDs increased in average brokered CDs per issuing financial institution from $44 million in 1997 to $203 million in 2017. The growth was due to the increase in insurance levels to $250,000 in July 2010, mergers of banks issuing brokered CDs, and strong growth in…
Investors and analysts measure the performance of bank holding companies by comparing return on equity (ROE) against the cost of equity capital (COE). If the ROE is higher than the COE, management is creating value. ROE less than COE, management destroys value. Value is measured by stock price to book…
The growth dynamics in brokered CDs has been the increase in average brokered CDs per issuing bank from $40 million in 1997 to $180 million in 2017. The growth has been due to the increase in insurance levels to $250,000 in July 2010, mergers of banks issuing brokered CDs, and…
