Margin compression: Difference between revisions
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imported>Doug Williamson (Create the page. Source: https://www.federalreserve.gov/econresdata/notes/feds-notes/2015/why-are-net-interest-margins-of-large-banks-so-compressed-20151005.html) |
imported>Doug Williamson (Add link.) |
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''Banking - Net interest margin (NIM)''. | ''Banking - Net interest margin (NIM)''. | ||
Margin compression is a reduction in the net interest margin (NIM) enjoyed by a bank resulting from: | Margin compression is a reduction in the net interest margin (NIM) enjoyed by a bank, resulting from: | ||
*Low interest rates; | *Low interest rates; | ||
*Stable interest rates; or | *Stable interest rates; or | ||
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* [[NII]] | * [[NII]] | ||
* [[NIM]] | * [[NIM]] | ||
* [[Term Funding Scheme]] | |||
[[Category:The_business_context]] | |||
[[Category:Financial_products_and_markets]] | |||
Latest revision as of 14:41, 23 March 2020
Banking - Net interest margin (NIM).
Margin compression is a reduction in the net interest margin (NIM) enjoyed by a bank, resulting from:
- Low interest rates;
- Stable interest rates; or
- Both.
