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Robert from yahoo bd

02/03/23 11:58 AM

#747224 RE: kthomp19 #747175

Wow, thanks KT for the link to HERA'S description of FHFA's powers as Regulator!

So what's the difference between core capital, Tier 1 capital, CET1 capital, and the ERCF?

Under 4502 of HERA-Definitions Section 7:

The term “core capital” means, with respect to an enterprise, the sum of the following (as determined in accordance with generally accepted accounting principles):

(A)The par or stated value of outstanding common stock.

(B)The par or stated value of outstanding perpetual, noncumulative preferred stock.

(C)Paid-in capital.

(D)Retained earnings.

The core capital of an enterprise shall not include any amounts that the enterprise could be required to pay, at the option of investors, to retire capital instruments.