Capital adequacy and Gross profit margin: Difference between pages

Revision as of 14:43, 15 January 2018

Gross profit margin is the gross profit divided by revenue, usually expressed as a percentage.

Also known as the 'gross profit ratio'.

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+Gross profit margin is the gross profit divided by revenue, usually expressed as a percentage.
-The system of regulating banks (and other financial institutions) by requiring them to maintain minimum acceptable levels of capital, adequate to absorb their potential credit losses and other trading losses.
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-The current minimum amount of risk weighted capital that banks are required to maintain in proportion to the risk assets that they assume, normally used in connection with the requirements laid down internationally by the Bank for International Settlements (BIS) and monitored by domestic central banks.
-Historically the BIS standard has been 8%.
+Also known as the 'gross profit ratio'.
-Under Basel III this standard will be increased (strengthened) substantially - very roughly doubled - and its measurement will be refined.
-== See also ==
+==See also==
-* [[Bank for International Settlements]]
+*[[Gross profit]]
-* [[Basel II]]
+*[[Net profit margin]]
-* [[Basel III]]
+*[[Operating profit margin]]
-* [[Capital Adequacy Directive]]
+*[[Profit margin]]
-* [[Capital Requirements Directive]]
+*[[Revenue]]
-* [[PLAC]]
-* [[GCLAC]]
-* [[Microprudential]]
-* [[Settlement risk]]
-* [[Slotting]]
-[[Category:Compliance_and_audit]]