Texas Ratios

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What is Texas ratio | Capital.com – The Texas ratio is an unofficial indicator used to determine how stable a US bank is. It’s calculated by dividing a bank’s bad assets by its capital. The result can give advance warning that it has made bad investment choices.

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Texas Ratio and Troubled Bank List with Analysis – Table of all Failed Banks for 2010 with Texas Ratio and Distribution Chart. Another source of Texas Ratio Data for Banks. This Table below covers Texas Ratio for 407 banks with Texas Ratios over 100%, it appears more up to date, with Texas Ratio data for 2010 Q1 as well as 2009 Q4.

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The Texas Ratio: Where Does Your Bank Stand? – For example, if a bank has a Texas Ratio of 50, it means for every $100 of capital, it also has $50 of non-performing assets. If the ratio gets too high, banks can raise new money to reduce the ratio.

Texas Ratio: The Texas ratio was developed to warn of credit problems at particular banks or banks in particular regions. The Texas ratio takes the amount of a bank’s non-performing assets and.

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How to Calculate the Texas Ratio | Pocketsense – The Texas ratio uses math to warn of credit problems at a particular bank or finance institution. You calculate it by dividing the amount of a bank’s non-performing assets by the sum of the bank’s available capital. A ratio of more than one suggests the bank is at a high risk of failure.

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