Loan to stable deposit ratio and Lognormal: Difference between pages

Revision as of 11:00, 22 August 2013

Characteristic of a lognormal frequency distribution.

Sometimes written "log-normal" or "log normal".

(Not to be confused with the Natural logarithm, which is different.)

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-''Bank prudential management''
+Characteristic of a lognormal frequency distribution.
-(L/SD ratio).
+Sometimes written "log-normal" or "log normal".
-A simple measure of a bank's funding profile, being a refinement of the (even simpler) loan to deposit (L/D) ratio.
+(Not to be confused with the Natural logarithm, which is different.)
-The L/SD ratio divides the bank's loans by its stable deposits.
-Deposits which are regarded as 'non stable' are excluded from the calculation.
-Compared with the simpler loan to deposit ratio, the L/SD ratio provides a more representative measure of the bank's capacity to lend.
-An even more refined measure is the Net Stable Funding Ratio (NSFR).
 == See also ==
-* [[Liquidity]]
+* [[Lognormal frequency distribution]]
-* [[Liquidity Coverage Ratio]]
+* [[Natural logarithm]]
-* [[Leverage Ratio]]
-* [[Loan to deposit ratio]]
-* [[Loan to stable funding ratio]]
-* [[Net Stable Funding Ratio]]
-* [[Funding]]
-* [[Funding ratio]]