The Spanish bank BBVA seeks to persuade investors it is on the right track

“At a time when some of the biggest banks in the world are hitting the headlines with losses and write-downs in the billions and revelations of deficient risk control, BBVA stands out for its solidity and solvency.

Not only does the second-largest bank in Spain and Latin America, after Santander, have one of lowest non-performing loan ratios of the top 25 global banks, at 0.86 percent, they also are covered 253 times by provisions. The bank also has no exposure to subprime mortgages or leveraged buyouts.

What is even more impressive is that this conservatism is allied to exceptional profitability - at 36.4 percent, one of the best returns on equity of the top-25 global banks. And, as further evidence of good management, the best cost/income ratio at 44 percent in 2006, according to The Banker. Additionally, it is one of the largest players in the world in the exploding remittances market and is one of the top pension fund managers in Latin America.”*

Stumble it! | |