Capital Adequacy Ratio Calculator
The Capital Adequacy Ratio Calculator measures a bank's capital relative to its risk-weighted assets. Calculate Tier 1 ratio, Total CAR, and assess regulatory compliance with Basel III requirements — essential for banking analysts and risk managers.
What is Capital Adequacy Ratio?
Capital Adequacy Ratio (CAR) measures a bank's available capital as a percentage of its risk-weighted assets (RWA). CAR ensures banks have enough capital to absorb losses and protect depositors. The Basel III framework requires a minimum CAR of 8%, with at least 6% from Tier 1 capital.
Tier 1 capital includes common equity (CET1) and retained earnings — the highest quality capital. Tier 2 capital includes subordinated debt and hybrid instruments. Regulators worldwide use CAR to assess bank stability and prevent systemic failures.
Formula & Persamaan Yang Digunakan
Capital Adequacy Ratio Calculator ini menggunakan 5 persamaan utama:
1 Capital Adequacy Ratio ▼
A bank with $10B Tier 1, $3B Tier 2, and $100B RWA: CAR = ($13B / $100B) × 100 = 13%.
2 Tier 1 Ratio ▼
A bank with $8B Tier 1 capital and $80B RWA has a Tier 1 ratio of 10%.
3 CET1 Ratio ▼
Basel III requires a minimum CET1 ratio of 4.5%. Most banks target 10%+ for safety.
Cara Menggunakan Kalkulator Ini
Untuk menggunakan Kalkulator Nisbah ini, ikuti 3 langkah berikut:
Masukkan Nilai
Taip nilai nisbah yang diketahui ke dalam ruang input. Biarkan satu ruang kosong — itu ialah nilai tidak diketahui yang diselesaikan oleh Kalkulator Nisbah.
Pilih Mod
Pilih mod nisbah — Selesaikan, Permudahkan, atau Skalakan. Setiap mod menggunakan persamaan berbeza untuk nilai input anda.
Dapatkan Hasil
Klik Kira. Skrin hasil memaparkan jawapan dengan bar nisbah visual, carta pai, dan pecahan jalan pengiraan langkah-demi-langkah.
Contoh Masalah & Penyelesaian Langkah-demi-Langkah
Berikut ialah 3 contoh masalah dengan penyelesaian langkah-demi-langkah menggunakan Kalkulator Nisbah ini:
Input 1 Bank with $12B Tier 1, $4B Tier 2, $120B RWA
Input 2 Assess if a bank meets the 8% minimum
Input 3 How much capital needed for 10% CAR?
Soalan Lazim
What is the minimum Capital Adequacy Ratio? ▼
Basel III requires a minimum CAR of 8%, with at least 4.5% CET1 and 6% Tier 1. Many regulators impose additional buffers (conservation buffer of 2.5%), bringing the effective minimum to 10.5%.
What is the difference between Tier 1 and Tier 2 capital? ▼
Tier 1 capital (core capital) includes common equity and retained earnings — it absorbs losses while the bank operates. Tier 2 capital (supplementary) includes subordinated debt that absorbs losses only in liquidation.
What are risk-weighted assets? ▼
Risk-weighted assets assign different risk weights to different asset types. Cash has 0% weight, government bonds 0-20%, mortgages 35-50%, and corporate loans 100%. Total RWA = sum of (asset value × risk weight) for all assets.
Why is CAR important for banks? ▼
CAR ensures banks can absorb unexpected losses without becoming insolvent. Higher CAR means more cushion for depositors and the financial system. Banks with low CAR face regulatory restrictions on dividends and growth.
How does a bank improve its CAR? ▼
Banks can raise CAR by issuing new equity, retaining earnings instead of paying dividends, reducing risk-weighted assets (selling risky loans), or securitizing assets to move them off-balance-sheet.