The Asian Banker strongest bank rank is designed to investors who invest in Asia Pacific region and need to distinguish strongest banks across a number of quantitative and qualitative indicators. Most indicators today are based only on balance sheet numbers. Traditionally, we have had a scorecard that assesses the strength of bank balance sheets as separate measurement, based on which we make the strongest balance sheet ranking.
Our annual assessment of the Strongest Bank Ranking is for performance over the previous three year running period.
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Strongest Bank Scorecard criteria |
The scores we measure |
1. |
A superior domestic franchise |
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Liabilities per branch ratio |
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2. |
"Strongest balance sheet" over a three year period |
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The rating from our Strongest Balance Sheet score card |
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3. |
Strong fee-based businesses |
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Highest contribution of fees as a % of total business in the country |
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4. |
Strong brand value |
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The premium that the share price enjoys over average valuation of the institution |
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5. |
Stable core and recurrent revenue stream over a three year period |
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Core business as a % of total business over a three year period (higher gets higher score) |
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6. |
Diversified revenue streams |
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Number of identifiable stand alone business lines |
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7. |
Consistent ROE over a three year period |
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Least fluctuations in ROE over a three year period |
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8. |
Organisation’s demonstrated ability to execute on strategy in responding to changes in the marketplace in the past three years |
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Three identifiable key strategic projects achieved in the past three years that contributed to or transformed the bottomline (eg. M&A, customer acquisition project etc). 1-5 score for each project |
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9. |
Strong governance structure at board level |
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1-3 score for each board member based on relevance and skills contributed to this organisation, 0-1 score for our perception of relationship with the CEO |
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10. |
Strong execution capability at the management level |
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1-3 score for each management team member in terms of relevance and skills contributed to organization |
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