SECURITY BANK TOTAL LOANS

350000

300000

250000

200000

150000

100000

50000

0
2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016

A bank loan is a form of credit which is extended for a specified period of time, usually
on fixed-interest terms related to the base rate of interest, with the principal being repaid either
on a regular instalment basis or in full on the appointed redemption date. Depending upon the
nature of the loan and the degree of risk involved, a bank loan may be unsecured or secured, the
latter requiring the borrower to deposit with the bank an approved form of collateral security.

According to the given data the Security bank loans it is shown that it is continues
increasing year by year specially starting in year 2011 until 2016.However, in year 2006 and
2010 the loans are decreasing but in small amount only. In overall it is means that loan and
Credit of Security Bank leads to an increase in spending, thus increasing income levels in the
 economy. This in turn leads to higher GDP and thereby faster productivity growth. The growth
of loans is helpful to increase the banking business.
YEAR AMOUNT IN MILLION Php Increase in % over previous year
2005 32490
2006 29623 -8.8%
2007 52570 77.46%
2008 66626 26.74%
2009 73905 10.93%
2010 73303 -0.81%
2011 91289 24.54%
2012 129432 41.78%
2013 164874 27.38%
2014 179289 8.74
52015 233135 30.03%
2016 288331 23.68%

SECURITY BANK LOANS AND DEPOSIT RATIO

1.00
0.94
0.90
0.82
0.80
0.80 0.76 0.76
0.75

0.70 0.68 0.66

0.64
0.60
0.55

0.50 0.48

0.40
0.33
0.30

0.20

0.10

0.00
2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016

SECURITY BANK LOANS AND DEPOSIT RATIO

 The loan-to-deposit ratio (LDR) is used to assess a bank's liquidity by comparing a bank's
total loans to its total deposits for the same period. The LDR is expressed as a percentage. If the
ratio is too high, it means that the bank may not have enough liquidity to cover any unforeseen
fund requirements. 

The loan to deposit ratio of the security bank has a great impact on how well they attract
and retain customer. The graph shown that the LDR of Security Bank is high and it will likely
have more money to lend, which should increase earnings. However, in year 2006 and 2010 the
LDR are low and after year 2012 the loans and deposit ratio are not stable because its decreases
in two consecutive years but in minimal percentage only it means Security Bank is have less
money to lend. In year 2012 the loan to deposit ratio are ideal which means Security bank loaned
one peso to customers for every peso received in deposits it received. It also means that Security
bank will not have significant reserves available for expected or unexpected contingencies.

YEAR LDR Increase in % over previous year

2005 0.48
2006 0.33 -31.25
2007 0.55 66.67%
2008 0.64 16.36%
2009 0.68 6.25%
2010 0.66 -2.94%
2011 0.76 15.15%
2012 0.94 23.68%
2013 0.82 -12.77%
2014 0.75 -8.54%
52015 0.80 6.67%
2016 0.76 5%
 SECURITY BANK TRADING AND INVESTMENT SECURITIES
300000

250000 240500

200000 189704

150000
114171
100000 84130
76832
59705 65666
51474 50045 46170 44715
50000 38817

0
2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016

SECURITY BANK TRADING AND INVESTMENT SECURITIES

Investment securities are securities (tradable financial assets, such as equities or fixed
income instruments) that are purchased in order to be held for investment. Investment securities,
along with bank loans, are the principal source of bank earnings, and generally serve two key
functions: as a source of bank liquidity, or funding to meet loan demand or customers’ needs for
cash and as an additional source of earnings from the capital gains realized when portfolio
securities are sold. 

In data given it was shown that the investment securities of the security bank were
decreases but in minimal amount only however, started in year 2011 there are huge growth of
investment securities until 2016. The graph shown on how security bank take care on investment
securities. The money which is invested in securities can be used for the growth and purpose of
Security bank. During the span of 12 years in investing in securities the amount of Investment is
amounted 1061229 (In Millions PhP).

YEAR In Millions PhP Increase in % over previous year

2005 51474
2006 59705 15.99%
 2007 50045 -16.18%
2008 46170 -7.74%
2009 44715 -3.15%
2010 38117 -14.76%
2011 76832 101.57%
2012 65666 -14.53%
2013 84130 28.12%
2014 114171 35.70%
52015 189704 66.16%
2016 240500 26.78%