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111% liability to asset ratio (lent out more money than it has in deposits), over leveraged bank with poor management

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  • 70882358 : Dude, bank deposits are liabilities; money lent out is an asset. Hurry back and read a book, you can't pass CFA1 at this level

  • 70882358 : The bank's balance to debt ratio of 111% is nothing new. If a bank's loss of low-interest mortgage bonds is collateralized to the Federal Reserve in exchange for an equivalent amount of cash, this bank won't go bankrupt. Short-term empty orders have been closed and are ready to pick up the goods