Reference no: EM131723139

Question: You are the CFO of a large opprobrium. that la reevaluating the destitute institutions. it relies upon for financial services. Since your company will maintain deposits in excess of $100,000, you want to make sure that the institutions you rely upon are well capitalized. Compare the total capital to risk-weighted assets, the 'Tier 1 capital to risk-weighted assets, and the leverage ratio for the following four banks: Bank of America (BHC ID 1073757), J. P. Morgan Chase (BHC ID 1039502), National City Corp (BHC ID 1069125), and Wachovia (BHC IC) 1073551). This is easily accomplished at www3.fdic.gov/sdi/ where you can create a report for the four BHCs. If you need some help maneuvering within the FDIC's Statistics on Depository Institutions (SDI), read on.

The process to create a report requires you to select the number of columns. You want to select "4" to develop the format to collect data for the most recent report. This provides four pull-down menus, each labeled Select One. In the columns select Bank Holding Company from the menu and go on to type in the BHC ID #. After defining the four columns click on Next. At this point you focus on Report Selection, choosing to view and do calculations in percentages. Then you get to identify the information you want to collect before creating the report by clicking Next. You will find the "Performance and Conditions" report to be quite helpful. Are all the institutions well capitalized? Which institution has the highest capital ratios?