Research and consultancy, Tabbush Report

Daniel Tabbush

Research and consultancy

Tabbush Report

We provide research and consultancy on Asian banks. Our focus is on what we call “Asian bank research, without the noise.” We are interested in the most critical swing-factors for banks, the NPL and credit cycle, and where we believe there is a gap between perception and reality. We often focus on the less studied components of bank financial statements.  Our research is highly thematic, sometimes examining unlisted banks and companies as a window on mainstream banks. 

Being independent allows us to look at smaller banks, often overlooked by others. Analysis of BIS bank guidelines in the context of Asia, is also a focal point, while we also analyze global banks operating in the region. We use what we believe is the most comprehensive, reliable financials database, SNL Financial. S&P Capital IQ augments our database, with corporate data and CEIC, with economics. 

Asian bank research, without the noise.

Thematic (Sector/Industry)

Other asset growth is surging at China’s banks. It is a line item often associated with assets of limited liquidity, impossible to value, or not easy to fit into a more benign classifications. In the Asian Financial Crisis this was an area of interest: this account included interest in suspense, which was linked to delinquent loans.  Even on a good day, China’s granular data is not wholly clear, so data here is murky. Save to say, that with these so-called other assets now account for more than…

Other asset growth is surging at China’s banks. It is a line item often associated with assets of limited liquidity, impossible to value, or not easy to fit into a more benign classifications. In the Asian Financial Crisis this was an area of interest: this account included interest in suspense, which was linked to delinquent loans.  Even on a good day, China’s granular data is not wholly clear, so data here is murky. Save to say, that with these so-called other assets now account for more than…

Other Assets May Conceal Bad Loans: China

The China Banking Regulatory Commission (CBRC) is concerned about high growth in consumer loans. But not only the pace. It is also worried about misdirected lending into mortgage real estate loans, from other categories of consumer, such as personal or credit card. While impossible to prove, experience in Asia has shown mis-directed lending to be fairly normal, and especially when growth is over-sized.Most of China’s credit growth in recent quarters, is from consumer, which is basically…

The China Banking Regulatory Commission (CBRC) is concerned about high growth in consumer loans. But not only the pace. It is also worried about misdirected lending into mortgage real estate loans, from other categories of consumer, such as personal or credit card. While impossible to prove, experience in Asia has shown mis-directed lending to be fairly normal, and especially when growth is over-sized.Most of China’s credit growth in recent quarters, is from consumer, which is basically…

China Consumer Loans – Risk at Ping An Bank, China Merchants Bank, and System?

The most visible sign of credit quality for banks are non-performing loans (NPL) or the NPL ratio. But there are many other indicators of credit quality that are less visible. Net write-offs are one such item. While not heralded with vigor in Asia Pacific, it is a data series that US bank analysts weed out as much or more so than NPL data. And it is often a leading indicator of deteriorating credit quality. In China, average NPL ratios have hardly moved in the past two years. Net…

The most visible sign of credit quality for banks are non-performing loans (NPL) or the NPL ratio. But there are many other indicators of credit quality that are less visible. Net write-offs are one such item. While not heralded with vigor in Asia Pacific, it is a data series that US bank analysts weed out as much or more so than NPL data. And it is often a leading indicator of deteriorating credit quality. In China, average NPL ratios have hardly moved in the past two years. Net…

China Banks: Rising Write-Offs at Odds with NPLs

While non-performing loan (NPL) ratios have not blown out for China’s banks nor has profit imploded, we would caution against becoming complacent. There remains considerable concern with ‘overdue loans’ and the distribution of NPLs, while China corporate financials remain frail. Aside from this, we must recognize that banks' credit costs as a proportion of loans does suggest a nasty and prolonged NPL cycle. Perhaps this is why banks’ market capitalisation as a percentage of assets continues to…

While non-performing loan (NPL) ratios have not blown out for China’s banks nor has profit imploded, we would caution against becoming complacent. There remains considerable concern with ‘overdue loans’ and the distribution of NPLs, while China corporate financials remain frail. Aside from this, we must recognize that banks' credit costs as a proportion of loans does suggest a nasty and prolonged NPL cycle. Perhaps this is why banks’ market capitalisation as a percentage of assets continues to…

Founder, Supreme Peoples Court Monitor

Susan Finder

Founder

Supreme Peoples Court Monitor

<figure class="editor-figure mceNonEditable"><img src="https://static-prod.smartkarma.com/images/media/000/024/749/original/Screen%20Shot%202017-04-21%20at%208.49.13%20PM.png?1492779009" class="editor-image img-responsive" data-smartkarma-image-id="24749"></figure><div class="content-caption">CBRC penalty decision</div>I recently wrote about penalties imposed by China's securities regulator, the China Securities Regulatory Commission (CSRC).  It has been widely reported by the business and legal press in greater China that China's bank regulator, the China Banking Regulatory Commission (CBRC) has launched a <a href="http://www.caixinglobal.com/2017-04-17/101079381.html" target="_blank">regulatory frenzy</a> and <a href="http://newscontent.cctv.com/NewJsp/news.jsp?fileId=403998" target="_blank">inspection campaign</a> to crack down on abuses in the banking sector.  The regulator revealed in an announcement on its <a href="http://www.cbrc.gov.cn/chinese/home/docView/4D9893F514B14E0894CA1B85335C7017.html" target="_blank">website</a> early April penalties that it had…

CBRC penalty decisionI recently wrote about penalties imposed by China's securities regulator, the China Securities Regulatory Commission (CSRC).  It has been widely reported by the business and legal press in greater China that China's bank regulator, the China Banking Regulatory Commission (CBRC) has launched a regulatory frenzy and inspection campaign to crack down on abuses in the banking sector.  The regulator revealed in an announcement on its website early April penalties that it had…

China's Bank Regulator Launches Regulatory Campaign

China

Ping An Bank Co Ltd provides a full range of commercial banking services including RMB and foreign currency deposit, loan, international and domestic settlement, discount, currency trading, letter of credit, bank guarantee, and other related services.

Price Gauge
52-week Range	0.00 - 0.00
Market Cap (USDm)	0.00
P/E	0.00
Dividend (Yield)	0.00

Ping An Bank Co Ltd A (000001 CH)

Other Assets May Conceal Bad Loans: China

Other asset growth is surging at China’s banks. It is a line item often associated with assets of limited liquidity, impossible to value, or not...

Daniel Tabbush

China Consumer Loans – Risk at Ping An Bank, China Merchants Bank, and System?

The China Banking Regulatory Commission (CBRC) is concerned about high growth in consumer loans. But not only the pace. It is also worried about...

Daniel Tabbush

China Banks: Rising Write-Offs at Odds with NPLs

The most visible sign of credit quality for banks are non-performing loans (NPL) or the NPL ratio. But there are many other indicators of credit...

Daniel Tabbush

China Banks: We Must Not Be Complacent

While non-performing loan (NPL) ratios have not blown out for China’s banks nor has profit imploded, we would caution against becoming complacent....

Daniel Tabbush

China's Bank Regulator Launches Regulatory Campaign

I recently wrote about penalties imposed by China's securities regulator, the China Securities Regulatory Commission (CSRC). It has been widely...

Susan Finder

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)