Tier 1: Difference between revisions
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* [[Capital]] | * [[Capital]] | ||
* [[Capital adequacy]] | * [[Capital adequacy]] | ||
* [[Capital | * [[Capital Requirements Directive]] | ||
* [[Common Equity Tier 1]] | * [[Common Equity Tier 1]] | ||
* [[CRD IV]] | * [[CRD IV]] |
Revision as of 20:46, 29 January 2022
1. Banking - capital adequacy
(T1).
Tier 1 is the highest quality capital.
Contrasted with Tier 2, which is of lower quality.
Tier 1 is sometimes known as 'going concern' loss absorbing capital.
Tier 1 principally comprises equity, subject to regulatory deductions and the inclusion of some preferred shares and some perpetual bonds.
Tier 1 capital is classified as Common Equity Tier 1 (CET1) or Additional Tier 1 (AT1), CET1 having superior loss-absorbing quality.
2.
Abbreviation for Tier 1 executive.
3. Investment banking.
Tier 1 investment banks are the largest globally across multiple product categories.
They include JP Morgan, Goldman Sachs, Citigroup, Morgan Stanley and Bank of America.
4.
More generally, any larger, better known or more competent entity.