Valuing Banks
A New Corporate Finance Approach
Business & Finance, Finance & Investing, Banks & Banking, Finance
| Author: | Federico Beltrame, Daniele Previtali | ISBN: | 9781137561428 |
| Publisher: | Palgrave Macmillan UK | Publication: | June 27, 2016 |
| Imprint: | Palgrave Macmillan | Language: | English |
| Author: | Federico Beltrame, Daniele Previtali |
| ISBN: | 9781137561428 |
| Publisher: | Palgrave Macmillan UK |
| Publication: | June 27, 2016 |
| Imprint: | Palgrave Macmillan |
| Language: | English |
This book aims to overcome the limitations the variations in bank-specifics impose by providing a bank-specific valuation theoretical framework and a new asset-side model. The book includes also a constructive comparison of equity and asset side methods. The authors present a novel framework entitled, the “Asset Mark-down Model”. This method incorporates an Adjusted Present Value model, which allows practitioners to identify the main value creation sources of a particular bank: from asset-based cash flow and the mark-down on deposits, to tax benefits on bearing liabilities. Through the implementation of this framework, the authors offer a more accurate and more specific approach to valuing banks.
This book aims to overcome the limitations the variations in bank-specifics impose by providing a bank-specific valuation theoretical framework and a new asset-side model. The book includes also a constructive comparison of equity and asset side methods. The authors present a novel framework entitled, the “Asset Mark-down Model”. This method incorporates an Adjusted Present Value model, which allows practitioners to identify the main value creation sources of a particular bank: from asset-based cash flow and the mark-down on deposits, to tax benefits on bearing liabilities. Through the implementation of this framework, the authors offer a more accurate and more specific approach to valuing banks.
