Jenkins calls for shift in bank profitability calculation

robert-jenkins

Robert Jenkins, the newest member of the Interim Financial Policy Committee (FPC), in a speech released by the Bank of England on Tuesday, said banks had confused return on equity with shareholder value in calculating their profitability.

"We will not abolish greed. We can not outlaw stupidity. But we can and must place prudent limits on leverage," said Jenkins, in his address at the Annual Conference of the International Centre for Financial Regulation in Berlin.

If a bank achieves gains in

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact [email protected] or view our subscription options here: http://subscriptions.centralbanking.com/subscribe

You are currently unable to copy this content. Please contact [email protected] to find out more.

To continue reading...

You need to sign in to use this feature. If you don’t have a Central Banking account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account here: