Building society: related pages

PIBS (permanent interest bearing shares)
Securities issued by building societies that pay fixed interest. Often not redeemable.
Agency theory
The economic analysis of the conflicts of interest between owners and managers of assets.
Return on average assets (ROAA)
Net profit ÷ average assets. An efficiency ratio relevant to banks.
Reserve requirement
A proportion of deposits that banks are not allowed to lend.
Cost/income ratio
Most often used for banks: operating expenses ÷ operating income.
Non-performing assets (NPA)
Loans that are not being repaid or serviced through interest payments on time.
Non-interest income
For banks, Non-interest income ÷ operating income.
Interest spread
(interest income ÷ interest earning assets) - (interest expense ÷ interest bearing liabilities).
Copyright Graeme Pietersz © 2005-2019