tier 1 capital



First part of the two-tier risk based capital standard commonly used by regulatory agencies (such as a central bank) to assess a financial institution's capital adequacy. Tier 1 capital includes common stock and retained earnings and is the basis on which a bank, building society, credit union supports its deposit and lending operations. Also called core capital or primary capital.

Use tier 1 capital in a sentence

Related Videos


Have a question about tier 1 capital? Ask for help in the
advertise here

Browse by Letter: # A B C D E F G H I J K L M N O P Q R S T U V W X Y Z