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Excess capital that has already been taxed can be used to fund a cash rich life insurance policy.
His primary screen looks for excess capital.
"We saw plenty of excess capital generation," Mr. Hoyle said.
But MetLife estimates it has excess capital of around $5 billion.
It's probably the best thing for all investors when excess capital goes back through buybacks".
Surely, then, with their high profitability, they should be throwing off plenty of excess capital?
Today ING reckons it has around €5.5 billion in excess capital.
One is that the banks may have elected to hold onto the excess capital for now.
Wachovia also anticipates that it will have $1.7 billion in excess capital available after the merger to buy back stock.
"We took that opportunity to build an even more robust excess capital cushion than we had previously targeted," he said.
To be sure, none of these banks are paying out all of their excess capital in dividends or stock buybacks.
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