Most stable banking organization in the world as rated by Bloomberg Markets in this year i Singapore bank Oversea-Chinese Banking Corp. OCBC Bank was selected from 78 other banks in the world with assets of at least $100 billion. In compiling were took into account such criteria as Tier I capital compared with risk-weighted assets, substandard assets compared with total assets, profitability (comparison of profits and losses).
Tier I capital includes cash reserves of the bank, the outstanding ordinary shares and certain classes of preferred shares, which should neutralise the losses when the economy will begin a rough patch.
The head of OCBC, winner of the rating, David Conner formulated banking strategy as follows: the concentration on the client, creating a stable capital base and risk minimization. Of twenty of the most stable banks in the world were included three Singaporean banks, with the lowest result of sixth place.
According to D. Conner, in terms of "Tier I capital compared with risk-weighted assets" Singaporean banks would take all of the first three places because historically Monetary Authority of Singapore has always shown to them the higher capital requirements of the first level. Singapore UOB took seventh place, down from sixth last year, and Singapore DBS moved three places from fifth to eighth.
The second place after OCBC received the Chinese bank Hong Kong Holdings, which was ranked 10th last year. Canadian Imperial Bank of Commerce has moved into third place.