Financial Performance of the US Deposit Banks: The Entropy Based Paris Method
Şu kitabın bölümü:
Karaca,
C.
&
Buğan,
M.
F.
(eds.)
2023.
Finansal Piyasaların Evrimi- II.
Özet
The financial performance of banks can be regarded as one of the most significant topics in financial markets. It is very important by everyone. In this study, a comparison was made among the bank groups in FDIC system by evaluating their financial data. For this study, the PARIS (Preference Analysis for Reference Ideal Solution) method, one of the novel multi-criteria decision- making (MCDM) techniques was employed together with the ENTROPY method. PARİS was used as a ranking method and ENTROPY was applied as a weighting method. Five bank groups were classified regarding to their asset sizes were evaluated. The performance analysis is based on ten criteria. According to the ENTROPY weighting method, the most important criterion was Equity Capital to Assets. Net Interest Margin and Net Loans & Leases to Total Deposits ratios follow it respectively. The least important criterion was Return on Assets. According to the PARIS method, the bank group with the average asset of between $100 million - $1 billion performed the best between 2018-2022. The worst performing bank group was the one with assets over $250 billion.