EP18 Bank Analysis (Part 1): Bank Business Model
Value Investing Podcast - A podcast by Jun Kim, CFA
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Support this podcast through your donation: https://paypal.me/valueinvesting I will create three episodes to explain the basics of analyzing bank stocks which are a black box to many investors. This episode covers the bank business model in terms of how they make money, what deposit structure and lending portfolio mix are generally good for investors. Additionally, I explain why it is important for investors to look at Common Equity Tier 1 (CET1) ratio and understand the current capital level of a bank. The next two episodes will cover how you can analyze the financial statements of a bank and how you can identify undervalued banks in the stock market. Click here (The Bank Investor's Handbook) to learn more about the book referenced in this episode.