Glossary
Banking
Capital Adequacy Ratio
The capital adequacy ratio is a core solvency measure regulators set for banks. It is the ratio of a bank\'s Tier 1 and Tier 2 capital to its risk weighted assets.
Capital Adequacy Ratio
The capital adequacy ratio is a core solvency measure regulators set for banks. It is the ratio of a bank\'s Tier 1 and Tier 2 capital to its risk weighted assets.