CET1 Capital Adequacy Ratio Calculator
Reconcile actual caller CET1 deductions and RWA against explicit ratio policy, preserving negative capital/margin; eligible capital/RWA and buffers are caller classified, no regulator-specific compliance finding.
Description
Common Equity Tier 1 (CET1) scenarios deduct specified adjustments before dividing by supplied risk-weighted assets (RWA).
Common Equity Tier 1 (CET1) scenarios deduct specified adjustments before dividing by supplied risk-weighted assets (RWA). Capital and policy margin can remain negative.1
The returned values include Adjusted cet1 capital minor, Adjusted cet1 ratio percent, Signed cet1 ratio margin percentage points, Meets caller cet1 ratio policy. The How section below explains the calculation, input rules and interpretation.
When to use CET1 Capital Adequacy Ratio Calculator
Use CET1 Capital Adequacy Ratio Calculator when you need to evaluate the supplied records under the calculation and evidence rules below. No eligible-capital/RWA classification, buffer inference or regulator-specific compliance finding is supplied.
Prepare observed financial records and verified caller terms. Use one currency for integer minor-unit money and preserve leading zeros in identifier text. One basis point is 0.01 percentage points. Resolve dates, local clocks, counting rules and evidence flags as specified.
How to use CET1 Capital Adequacy Ratio Calculator and understand its results
- Prepare observed financial records and verified caller terms. Use one currency for integer minor-unit money and preserve leading zeros in identifier text. One basis point is 0.01 percentage points. Resolve dates, local clocks, counting rules and evidence flags as specified.
- Enter reportedCet1BeforeDeductionsMinor, callerRequiredCet1DeductionsMinor, riskWeightedAssetsMinor, callerRequiredCet1RatioPercent using the field table and calculation rules, then run the tool.
- Read adjustedCet1CapitalMinor, adjustedCet1RatioPercent, signedCet1RatioMarginPercentagePoints, meetsCallerCet1RatioPolicy. The explanation below defines the units, signs, ordering and any flags or placeholder values.
- If the tool reports an input issue, correct the values and run it again. Apply the stated assumptions when interpreting a successfully returned result.
| Input field | Meaning | Value type; see rules below | Requirement |
|---|---|---|---|
| reportedCet1BeforeDeductionsMinor | Reported cet1 before deductions minor | number | Required |
| callerRequiredCet1DeductionsMinor | Caller required cet1 deductions minor | list of number | Required |
| riskWeightedAssetsMinor | Risk weighted assets minor | number | Required |
| callerRequiredCet1RatioPercent | Caller required cet1 ratio percent | number | Required |
Enter nonnegative safe-integer reported capital and deductions, positive safe-integer RWA and nonnegative finite required ratio percent. Deductions may be empty. Return signed adjusted capital, percent, percentage-point margin and inclusive policy flag with checked integer sums.
capital=reported−sum(deductions); ratio%=100capital/RWA; margin=ratio−requiredPercent Units, indexing, boundary conditions and exceptional cases are defined in the calculation rules above.
| Output field | Meaning | Value type |
|---|---|---|
| adjustedCet1CapitalMinor | Adjusted cet1 capital minor | number |
| adjustedCet1RatioPercent | Adjusted cet1 ratio percent | number |
| signedCet1RatioMarginPercentagePoints | Signed cet1 ratio margin percentage points | number |
| meetsCallerCet1RatioPolicy | Meets caller cet1 ratio policy | boolean |
{
"input": {
"reportedCet1BeforeDeductionsMinor": 1000,
"callerRequiredCet1DeductionsMinor": [
100,
50
],
"riskWeightedAssetsMinor": 10000,
"callerRequiredCet1RatioPercent": 8
},
"output": {
"adjustedCet1CapitalMinor": 850,
"adjustedCet1RatioPercent": 8.5,
"signedCet1RatioMarginPercentagePoints": 0.5,
"meetsCallerCet1RatioPolicy": true
}
}Limitations and assumptions
No eligible-capital/RWA classification, buffer inference or regulator-specific compliance finding is supplied.
Numeric inputs, where present, must be finite. Follow the calculation-specific rules for overflow, underflow and exceptional cases. Numeric lists are limited to 10,000 entries; string lists to 128 strings of at most 128 characters each. The rules above may impose smaller limits. Missing required fields, extra fields, wrong value types and violations of the calculation rules are input errors. A successfully returned false flag is an evaluated outcome; its meaning is explained above.
Alternative or Complementary methods
Use NSFR Net Stable Funding Ratio Calculator: NSFR compares available with required stable funding after classification weights. Supplied factors and category rounding shape this simplified scenario. For a complementary task, use LCR Liquidity Coverage Ratio Calculator: A simplified LCR scenario adjusts eligible assets for haircuts and caps level-two share and stress inflow offset. Hard caps use flooring to avoid overshooting.
References
-
CET1 Capital Adequacy Ratio Calculator — tool.io
Similar or alternative tools
- NSFR Net Stable Funding Ratio Calculator
NSFR compares available with required stable funding after classification weights. Supplied factors and category rounding shape this simplified scenario.
- LCR Liquidity Coverage Ratio Calculator
A simplified LCR scenario adjusts eligible assets for haircuts and caps level-two share and stress inflow offset. Hard caps use flooring to avoid overshooting.