Banking Profits/Losses on Loans

[JayHecht at aol.com]

In a message dated 3/21/99 4:41:14 PM Central Standard Time,
jmhayes at j-o-r-d-a-n.com writes:

<< 

 For earnings and taxes, they don't get 'booked' until they are

 realized; everything else is just a question of marking to market.

  >>
OK, so nothing "happens" from a financial accounting perspective, until loan
losses/gains are booked.

This is the same for insurance companies, however, "owners equity" i.e.
"surplus" for an insurer IS affected by stock/bond market fluctuations.
Presumably (or perhaps not) a banks equity (assets-liabilities) is also
affected in the same way. No?

Jason