Toy Euro stress test
The Euro DIY stress test is going around. It only tests the estimated sovreign debt loss impacts on banks books and doesn’t assess the balance sheet impacts from collateral economic damage that defaults etc. would have.
I jazzed up the model a bit to make it widgetier to play with and understand. Just used a few cheap design tricks. I make no claims as to the integrity of the data or calculations. Caveat emptor folks as we say in Iowa don’t bet your farm on this. It is a 10 minute derivative work from the original DIY spread sheet with simple scrollbars for key variables and some charts. Reuters has a more robust version here.
Here is an Excel Download in XLSX format. The DIY European Bank Stress Test V 2.0
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Hello Nick,
First thanks for the nice job
I have a question
Is the ratio (70/100) used in the impairment formulas corresponds to the tax impact ?
Many thanks for your help
All the best
Nicolas
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Typewriters lacking the euro sign can create it by typing a capital 'C', backspacing and overstriking it with the equal ('=') sign. Placement of the currency sign relative to the numeric amount varies from nation to nation, but for texts in English the symbol (and the ISO-standard "EUR") should precede the amount.
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The Central African CFA franc (French: franc CFA or simply franc, ISO 4217 code: XAF) is the currency of six independent states in central Africa, Cameroon, Central African Republic, Chad, Republic of the Congo, Equatorial Guinea and Gabon.
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The CFA is also used in Niger or at least it was when I vistited many years ago.