Capital ratio is also known as capital adequacy ratio or capital-to-risk-weighted assets ratio. Capital ratio is nothing but the ratio of capital a bank has divided by its risk-weighted assets.

The Tier 1 common capital to risk-weighted assets ratio historically stood at 7¼% over 1997–2007 for all FDIC banks in the U.S. The U.S.

The CET1 ratios are a key capital ratio at banks that look at their core capital expressed as a percentage of their risk-weighted assets such as loans. AFS bonds are those a bank intends to sell ...

On July 10, 2025, the federal banking agencies published a proposed rule to change the enhanced supplementary leverage ratio ...

Notably, the common equity Tier I (CET1) capital ratios are most often used as a quick reference to gauge a bank’s capital strength and also to compare them side-by-side.

Federal banking regulators are seeking comments from the public on how to reduce banks' regulatory burden, the Federal ...

Yet, the aggregate capital ratio for the banks fell slightly more this year than under 2021’s less harsh scenario, so some institutions will see their stress-capital buffers increased. Bank of America ...

Return on Capital Employed . Return on capital employed (ROCE) is another ratio that emphasizes efficiency but it's particularly suitable for an investment bank.

The CET1 ratio measures the financial strength of the bank. It takes the bank's core capital as a percentage of its risk-weighted assets, like loans or investment securities.

Most major banks still don't have enough capital to comfortably maintain their credit ratings despite recent improvements, S&P said in a report as it introduced a new framework to track banks ...