• Register
  • Login
  • Persian

Financial Accounting Knowledge

  1. Home
  2. Evaluation of Information Content of Ranking Indicators Based on Financial Health and Early Warning System at Banks

Current Issue

By Issue

By Author

By Subject

Author Index

Keyword Index

About Journal

Aims and Scope

Editorial Board

Publication Ethics

Indexing and Abstracting

Related Links

FAQ

Peer Review Process

Journal Metrics

News

Guide for Authors

Terms and Conditions

Forms

Evaluation of Information Content of Ranking Indicators Based on Financial Health and Early Warning System at Banks

    Authors

    • Shoeib Abbasi 1
    • Amin Nazemi 2
    • Navid Reza Namazi 2

    1 Department of Accounting, Marivan Branch, Islamic Azad University, Marivan, Iran

    2 Assistant Professor, Department of Accounting, School of Economics, Management and Social Sciences, Shiraz University, Shiraz, Iran

,

Document Type : Research Paper

10.30479/jfak.2021.15287.2844
  • Article Information
  • References
  • Download
  • How to cite
  • Statistics
  • Share

Abstract

Purpose: Due to the increasing importance of the issue of ranking in the banking industry and the lack of a ranking system in accordance with the conditions of the country in this study, according to the ranking systems of reputable institutions in the world and its localization with Conditions of the country provided the indigenous ranking system and evaluated it with financial health indicators and early warning system.
Method: For this purpose; After identifying the criteria used in evaluating the ranking of reputable institutions using the opinion of banking and academic experts, 35 criteria for ranking were extracted and using data from 15 banks listed on the Tehran Stock Exchange, during the period 2015-2019 to TOPSIS method, banks were ranked and evaluated using financial health and early warning system indicators.
Results: From the experts' point of view, quantitative indicators including financial dimensions (liquidity, profitability, capital and asset risk), qualitative dimensions (complexity and behavior of banks) and environmental dimensions (economic variables, government support and industry characteristics) are effective in the local bank ranking model.
Conclusion: The results of this study showed a positive and significant relationship between the proposed ranking model and financial health indicators and early warning system.
Contribution: This evidence suggests attention to the proposed indicators for the evaluation and ranking of banks, which can be used by rating agencies and bank officials.

Keywords

  • Banking Industry
  • Early Warning
  • Financial Health
  • Indigenous Ranking

Main Subjects

  • Financial Accounting
  • XML
  • PDF 1.59 M
  • RIS
  • EndNote
  • Mendeley
  • BibTeX
  • APA
  • MLA
  • HARVARD
  • CHICAGO
  • VANCOUVER
References
Abbasi, Sh., Nazemi, A. (2020). Presenting and Evaluating the Banks Rating Model Using TOPSIS Technique. International Journal of Nonlinear Analysis and Applications, 11(Special Issue): 195-209.
Abdi, R., Zeinali, M., Taghizadeh Khaneghah, V. (2017). The Effect of Managerial Ownership on the Relationship between Free Cash Flows and Investment Inefficiency. Financial Accounting and Auditing Research, 9 (35): 157-191. (In Persian)
Ahmadian, A. (2012). Evaluation of Banking Health Indicators in Iranian Banks (2012-2011). Monetary and Banking Research Institute of the Central Bank of the Islamic Republic of Iran, MBRI9222 Policy Note, Re. (In Persian)
Ahmadian, A. (2014). Design of an Early Warning System to Predict When Banks Will Be Exposed to Bankruptcy. Journal of Applied Theories of Economics, 2 (4): 119- 144. (In Persian).
Aldasoro, I., Claudio, B., & Mathias, D. (2018). Early Warning Indicators of Banking Crises: Expanding the Family. BIS Quarterly Review, March: 29-45.
Atefi-far, A., and Fathi, Z. (2021). Investigating the Effectiveness of Financial Health Indicators as Symbols of Banking Financial Crisis by Using Multivariate Logit Models (Case Study of Listed Banks). Financial Engineering and Portfolio Management, 11 (42): 333-361. (In Persian).
Arza, A. H., & Qasimpur, S. (2017). Ranking of Iranian Private Banks Based on Kamels Model Using a Combined Approach of Hierarchical Analysis Process and Aras. Financial Management Strategy, 5 (18): 99-118. (In Persian)
Beheshti Nia, M. A., Omidy, S. (2017). Introducing a New Approach to Ranking Banks with New Global Standards. Strategic and Macro Policies. 5 (17): 27-53. (In Persian)
Boitan, I. (2012). Development of an Early Warning System for Evaluating the Credit Portfolio's Quality. A Case Study on Romania. Prague Economic Papers, 21(3): 347-362.
Byoun, S., Han, S. H., & Shin, Y. S. (2020). Does the Nationally Recognized Statistical Rating Organization Certification Matter for Japanese Credit Rating Agencies? Journal of Financial Markets, 100585.
Choy, S. Y., Chit, M. M., & Teo, W. L. (2020). Sovereign Credit Ratings: Discovering Unorthodox Factors and Variables. Global Finance Journal, 100548.
Hu, D., Haq, M., Pathan, S., & Faff, R. W. (2018). New Evidence on National Culture and Bank Capital Structure. Pacific-Basin Finance Journal, 50: 41-46.
Kanani, M. R., & Babazadeh, Z. (2011). Development Analysis Based on Ecological Capabilities with TOPSIS Model (Case Study: Amol City, Mazandaran Province), Iranian Natural Ecosystem, 1 (4): 22- 31. (In Persian)
Karminsky, A. M., & Khromova, E. (2016). Extended Modeling of Banks’ Credit Ratings. Procedia Computer Science, 91: 201-210.
Kordbacheh, H., and Farhadifar K. (2021). Investigating Financial Insolvency in The Iranian Banking System and Its Determinants. Financial Engineering and Portfolio Management, 12 (46): 365-388. (In Persian).
Kritsonis, A. (2005). Assessing a Firm’s Future Financial Health. International Journal of Scholarly Acad Intellectual Divers, 9(1): 2004-5.
Kumar, A., & Abirami, S. (2018). Aspect-based Opinion Ranking Framework for Product Reviews Using a Spearman's Rank Correlation Coefficient Method. Information Sciences, 460: 23-41.
Packer, F., & Tarashev, N. A. (2011). Rating Methodologies for Banks. BIS Quarterly Review, June: 39-52.
Parsafard, M. R., Shirkund, S., Tehrani, R., & Mirlohi, S. M. (2018). Independent Credit Rating of the Country's Banks. Journal of Industrial Management, 10 (4): 575-606. (In Persian)
Pompella, M., & Dicanio, A. (2017). Ratings Based Inference and Credit Risk: Detecting Likely-to-Fail Banks with the PC-Mahalanobis Method. Economic Modelling, 67(7): 34-44.
Ramezani, S. M., Kharashadizadeh, M., & Mohammadi Yosho, E. (2017). Presenting a Health Assessment and Forecasting Model for Selected Iranian Banks Using CAMELS Indices. Economic Research and Policy, 25 (82): 43- 78. (In Persian)
Salimi, M. J., Ebrahimi Saroelya, M. H., & Qasempour, S. (2015). Designing a Local Model for Ranking Iranian Banks Based on Banking Health. Financial Research, 4 (18): 653-674. (In Persian)
Soheili, F., Sidi Tajar, H., Hosseini, M., & Ahmadi, H. (2018). Ranking of Central Libraries of Comprehensive and Industrial Universities by TOPSIS Method. Academic Library and Information Research, 52 (3): 13-37. (In Persian)
 
    • Article View: 577
    • PDF Download: 519
Financial Accounting Knowledge
Volume 8, Issue 4 - Serial Number 31
January 2022
Pages 41-62
Files
  • XML
  • PDF 1.59 M
Share
How to cite
  • RIS
  • EndNote
  • Mendeley
  • BibTeX
  • APA
  • MLA
  • HARVARD
  • CHICAGO
  • VANCOUVER
Statistics
  • Article View: 577
  • PDF Download: 519

APA

Abbasi, S. , Nazemi, A. and Namazi, N. R. (2022). Evaluation of Information Content of Ranking Indicators Based on Financial Health and Early Warning System at Banks. Financial Accounting Knowledge, 8(4), 41-62. doi: 10.30479/jfak.2021.15287.2844

MLA

Abbasi, S. , , Nazemi, A. , and Namazi, N. R. . "Evaluation of Information Content of Ranking Indicators Based on Financial Health and Early Warning System at Banks", Financial Accounting Knowledge, 8, 4, 2022, 41-62. doi: 10.30479/jfak.2021.15287.2844

HARVARD

Abbasi, S., Nazemi, A., Namazi, N. R. (2022). 'Evaluation of Information Content of Ranking Indicators Based on Financial Health and Early Warning System at Banks', Financial Accounting Knowledge, 8(4), pp. 41-62. doi: 10.30479/jfak.2021.15287.2844

CHICAGO

S. Abbasi , A. Nazemi and N. R. Namazi, "Evaluation of Information Content of Ranking Indicators Based on Financial Health and Early Warning System at Banks," Financial Accounting Knowledge, 8 4 (2022): 41-62, doi: 10.30479/jfak.2021.15287.2844

VANCOUVER

Abbasi, S., Nazemi, A., Namazi, N. R. Evaluation of Information Content of Ranking Indicators Based on Financial Health and Early Warning System at Banks. Financial Accounting Knowledge, 2022; 8(4): 41-62. doi: 10.30479/jfak.2021.15287.2844

  • Home
  • About Journal
  • Editorial Board
  • Submit Manuscript
  • Contact Us
  • Sitemap

News

Financial Accounting Knowledge, is licensed under a Creative Commons Attribution 4.0 International License (CC BY NC) .

 

Newsletter Subscription

Subscribe to the journal newsletter and receive the latest news and updates

© Journal Management System. Powered by Sinaweb