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.
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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.
Fórmulas e Equações Utilizadas
Esta Capital Adequacy Ratio Calculator usa 5 equações principais:
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.
Como Usar esta Calculadora
Para usar esta Calculadora de Proporção, siga 3 passos:
Insira os Valores
Digite os valores conhecidos nos campos de entrada. Deixe um campo vazio — esse é o valor desconhecido que a Calculadora de Proporção irá resolver.
Escolha o Modo
Selecione o modo de proporção — Resolver, Simplificar ou Redimensionar. Cada modo aplica equações diferentes aos seus valores de entrada.
Obtenha os Resultados
Clique em Calcular. A tela de resultados exibe a resposta com uma barra de proporção visual, um gráfico de pizza e um detalhamento da solução passo a passo.
Problemas de Exemplo e Soluções Passo a Passo
Aqui estão 3 problemas de exemplo com soluções passo a passo usando esta Calculadora de Proporção:
Entrada 1 Bank with $12B Tier 1, $4B Tier 2, $120B RWA
Entrada 2 Assess if a bank meets the 8% minimum
Entrada 3 How much capital needed for 10% CAR?
Perguntas Frequentes
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.