In the case of banks with lowlevera

In the case of banks with low
leverage, the interest margin and net income ratios
will be higher because banks with higher levels of
equity need to borrow less to support a given level of
assets and thus have lower interest expenses. The proportion
of gross income generated through fees and
commissions compared with net interest income
should also be monitored, as the employment of capital,
the level of operating costs, and the level of
assets held can differ.