In the current environment, it is particularly important to focus on companies with good balance sheets and higher asset quality.
Still, change isn't always bad and we continue to believe yesterday's results reflected improvement in several key areas, including higher revenues, increased loans and deposits, controlled expenses, an expanding NIM [net interest margin], improved core asset quality, higher capital ratios and a continued reduction in Citi Holdings.
Chairman Ronald E. Logue Ronald E. Logue said the bank's asset quality "remains high".
Moreover, a deterioration in unemployment or higher interest rates are likely to further impact asset quality.
Improved asset quality, renamed Shinsei Bank.
"Asset quality can ultimately kill a bank".
"Asset quality could be a catch-all category, but in general, examiners want to make sure banks have higher quality assets and that they're properly accounted for in terms of risk," said Ashbaugh.
"Not cheap, but not outrageous for a relatively high quality asset with strong top-line growth, current profitability and margin expansion potential," he wrote.
I am firmly committed to capturing and delivering more value for shareholders as we boost operational performance and expand our high quality asset base..
These assets include high quality mortgages with a significant protection margin built in and high quality securities with the highest quality of credit rating," he said.
He added: "The portfolio comprises well-located, high quality assets, heavily weighted towards London, including a number of trophy assets.
