Three Essays on Systemic Risk and Financial Stability These approaches are designedto both evaluate how financial institutions contribute to thestability of the system and to measure how they are resilientagainst financial distress that might propagate throughouttheir connections. Cornerstone of ... A Fl...
Financial experts have devised rough guidelines for each indicator of financial health, but every individual's situation is different. For this reason, it is worthwhile to spend time developing your ownfinancial planto ensure that you are on track to reach your goals and that you’re not putting...
Define what you want to measure:There are several different aspects of social and environmental performance that you can measure, such as your company’s carbon footprint, water usage, and number of new hires across diverse demographics. To determine which disclosures are material to your business,...
This combination of primary and secondary research can help you create a thorough SWOT analysis, which is an insightful way to measure and evaluate your overall business outlook against your competitors. To do this, create a table with four quadrants, where you'll rank your business’ strengths...
Liquidity ratiosmeasure a company's ability to pay off short-term debts as they become due, using the company's current or quick assets. Liquidity ratios include: Current ratio Quick ratio Working capital ratio 2. Solvency Ratios Also called financial leverage ratios,solvency ratioscompare a compan...
A modern, national economy is too complex to summarize in a single measure, but many economists rely on GDP as a summary of economic activity. Changes in the GDP over time provide a measure of stability. The GDP measures the total output of a nation’s economy in inflation-adjusted monetary...
How to measure bank credit risk disclosure? Testing a new methodological approach based on the content analysis frameworkRisk disclosure is a crucial factor in enhancing the efficiency of financial markets and promoting financial stability. This paper proposes a methodological tool to analyze credit risk...
Their aim was to keep credit flowing to businesses and households during recent banking sector turmoil. This had to coincide withongoing attempts to control inflationamid market chaos. The measure implemented by the Bank of Canada, the Bank of England, the Bank of Japan, the European Central...
The inventory turnover ratio is a well-known and well-used formula because it’s one of the easiest ways to measure a company’s efficiency. This ratio helps businesses better manage inventory so there’s not too much overhead or too little supply. However, without deeper analysis, focusing...
Estimating the amount of money a company will need to pay its pension obligations is not a simple undertaking. Anactuaryis a professional that uses mathematical and statistical analysis to measure risks and financial obligations for companies in the future.Actuaries create mathematical modelsto try to...