/

) (

-
2009

) (

Asset/Liability Management (ALM) at

Traditional Banks & Islamic Banks
)(An Empirical Analytical Comparative Study

2009

Arab Academy for Banking & Financial Sciences

Dissertation
Asset/Liability Management (ALM) at
Traditional Banks & Islamic Banks
(An Empirical Analytical Comparative Study)

Prepared by
Omar Sheikh Osman
Supervisor
Prof. Khalid Amin Abdullah, PhD

This Dissertation was Submitted in Partial Fulfillment of

the Requirements for the Degree of Doctor of Philosophy
in Banking and Financial Sciences.

Banking Specialization

Damascus-Syrian Arab Republic

2009

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15

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18

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21

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28

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29

3-2-2

31

3-2

33

1-3-2

33

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34

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39

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45

1-2-3-2

45

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61

80

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81

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83

4-3

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86

99

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Abstract
Asset/Liability Management (ALM) at Traditional Banks &
Islamic Banks

The study aimed at evaluating Asset Liability Management (ALM) of

Traditional Banks and Islamic Banks, in addition to the important factors
affecting on (ALM): liquidity, profitability and risk.
The population of the study comprised the Islamic Banks in Jordan that count
two in number, and another two Traditional ones. The sample of Traditional
Banks was intended to be equal to Islamic Banks in Equity Shares. The
classification was issued by the Association of Banks in Jordan; the study
covered data of nine years 2000-2008.The research depended on secondary
sources, mainly financial reports. Analysis included analytical descriptive
approach, correlation and simple linear regression to analyze profitability,
liquidity, and risk to show how banks manage their assets; and canonical
correlation to study the strength of Assets and Liabilities as groups.
The study came out with the following conclusions:
-There was a strong correlation between Assets and Liabilities in Islamic Banks
and Traditional Banks.
-Traditional Banks were managing their deposits through diversifying short and
long term investments, while the Islamic Banks were investing in short term and
ignoring long term investments.
-There were no significant differences in return on equity between Traditional
and Islamic Banks.
-Risk rate at Islamic Banks was approximately double that for Traditional Banks.
-There were no significant differences on liquidity deposit ratio between
Traditional Banks and Islamic Banks.



1 -1



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.

) (1 1995.93


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.
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2000 2008
.1998
_______________________________________________________________________
(1)www.jordanislamicbank.com
(2)www.iiabank.com.jo
(3)www.hbtf.com
(4)www.Ajib.com

 6-1

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/

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) (1)(Ranjan and Nallari


)( 2004 -1992

Canonical

.
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)Bank Islamic Malysia Berhad (BIMB
)(1997-1984

(1) Ranjan and Nallari, Rahul, Research Study of Asset Liability Management in Indian Banks, Indian Institute of
Management,2004.
(2) Samad, Abdus, and Hassan, M.Kabir, the Performance of Malysian Islamic Bank, Intrnational Journal of Islamic Financial
Services, VOL.1, 1999.

 ) (BIMB ) (8
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) (BIMB
.

)(1)(Hassan )Islamic Bank of Bangladesh Limited (IBBL

16
%2

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)()(2
) (2003-1992

(1) Hassan, M.kabir, Islamic Banking in Theory and Practice, The Experience of Bangladesh,
Managerial Finance, VOL.25, 1999.
) (2
.2006

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.

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(2) Mishkin , S. Frederic, The Economics of Money, Banking , and Financial Markets ,Eight Edition,
Columbia University, Pearson , 2007 , p226.

21



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23



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(2) P.Meyer, Op Cit, P194.

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(2) International Chamber of Commerce"ICC", the World Business Organization, Paris.

53

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-4:

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= /



.

(1)Edwards,J.Don,and Heagy,C.Donnel,Principles of Bank Accounting and Reporting, American Bankers

Association, 1991, P363.
(2)Rose S.Peter,Hudgin G.Sylvia,Bank Management and Financial Services,seventh edition,2008,p176.

) (3 .163

82

 3-3

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ROE .CDR
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)(3-2
)(3-3

A = 1 A1 + 2 A2 + 3 A3 + 4 A4 + 5 A5
B= 1 B1 + 2 B2 + 3 B3

Canonical


Multi Regression
) (
Canonical
Canonical Canonical
Canonical
.
Canonical.

(1) Garson,G.David,Canonical correlation.[online]Availabe:www.faculty.chass.ncsu.edu/garso/

pa765*canonic.htm, data accessed :2009.

85



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) (3 Canonical :
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0.866
0.855
A5
B3
.


)(rc>0.95,P<0.05


.0.033



.



90



:
.

91

 :
.


.

:

)(r=0.986,P<0.05 %97
)(R2= 0.97 %97
" "
)(r=0.996,P<0.05 %99
) (R2=0.99
.
:

) (r=0.949,P<0.05 %90
) (R2= 0.90
).( p > 0.05

. :
.

92

 " "

.

.

93

 :
.

) (t.test

)(P>0.05
) (5
:
)(5

.

0.10

0.007

0.08

0.010

) (4 :

94

 )(4

0.18

0.16

0.14
0.12

0.08

ROE

0.1

0.06
0.04
0.02
0
2000 2001 2002 2003 2004 2005 2006 2007 2008
Years

95

 :
.

Descriptive Analysis

) (6
:
)(6

.

0.10

0.33

0.08

0.58

96

 :
.

.
:
) (y )(x
) (r= 0.99 , P < 0.05 :
)(4-5

Y = 60.88 + 0.456 x

)(P<0.05 %97
)(R2=%97
). (t = 22.9, P<0.05
:

) (y )(r=0.98,P<0.05) (x :
)(4-6

Y= 21.947 + 0.487 x

)(P < 0.05 %96

)(R2 = %96,p < 0.05
).(P<0.05

97


) (b
)( )(5
:
)(5

.

0.7

0.65
0.6
0.55
CDR

0.5
0.45
0.4
0.35
0.3
2000 2001 2002 2003 2004 2005 2006 2007 2008
Years

)(Y=a+ b x + e

b
.

98



1-5
/
:

-1 /

.

.

.
-2
.



.
-3

99


.
-4

) (




) (
) ( .
-5


.


.

.
100

) (


.

101

 2-5
-1


.
-2

.

-3




.
-4

)(
.

-5

102


.
-6


.
-7

)(
.
-8

.

103

-1
.1991
-2
.2003
-3
.1999

.1
.1994

.2
.1982
.3
. 2005

.4
.1982
.5
.2004
104








.6
.2003
.7
. 2002
.8
. 2005
.9
.2005

/

.10

. 2004
.11
.1999
.12
.1983

.13
. 2008




.14
.2008
.15
. 2008
105

 .16
.1998
.17
.1999
.18
.2000
.19
.1998

.1

.1999
.2

. 2004
.3
) (2003 -1992
. 2006

106

 .4
-25
27 .2001
.5

. 1998
.6
. 1995
.7
.2009
.8
.2006
.9
38
.1993
.10
.1997197
.11
.1989

107

 .12
. 2006
.13
.1991
.14
.2007

-1 . 2008 -2000
-2 . 2008 -2000
-3 . 2008 2000
-4 . 2008 2000
-5 .1985 62
-6 .1974
-7 .2000 28

108


1. Bank of International Settlement (1999), the Basel Committee on
Banking Regulations and Supervisory Practices comprises, (Basel II).
2.Edwards,J.Don,and Heagy,C.Donnel(1991),Principles of Bank
Accounting and Reporting,American Bankers Association.
3. Edwards, Warren, Ceo (2006), Delphi Risk Management limited, Islamic
Liquidity

Management

Issues,

Islamic

Banking

and

Finance

Conference, Beirut, February 23-24 .

4. Garson, G.David, Canonical correlation. [Online]Availabe:
www.faculty.chass.ncsu.edu/garso/pa765*canonic.htm, data accessed:
2009.
5. Hassan, M.kabir (1999), Islamic Banking in Theory and Practice, The
Experience of Bangladesh, Managerial finance, VOL.25.
6. International Chamber of Commerce "ICC", the World Business
Organization, Paris.
7. Kuran, Timur (1995), Islamic Economic and Islamic Subeconomy,
Journal of Economic Perspective,Vol 9.
8. Mishkin, S. Frederic (2007), the Economcis of Money, Banking, and
Financial Markets, Eight Edition, Columbia University, Pearson.
9. Paul, A.Meyer (1986), Money, Financial Institutions, and the Economy,
Irwin.

109

10. Rose, S.Peter, and Hudgin, G.Sylvia (2008), Bank Management and
Financial Services, seventh edition.
11. Renjan and Nallari, Rahul (2004), Research Study of Asset Liability
Management in Indian Banks, Indian Institute of Management.
12. Siddiqi, Mohammad Nejatullah (2002), Comparative Advantages of
Islamic Banking and Finance, Harvard University Forum on Islamic
Finance.
13. Samad, Abdus, and Hassan, M.Kabir (1999), the Performance of
Malysian Islamic Bank, Intrenational Journal of Islamic Financial
Services, VOL.1.
14.Tariq, Mohamad,and Sayed Ali,Salman(2005),Challenges in Managing
Liquidity in Islamic Banking Environment,Liquidity Management in
Islamic Institutions,Central Bank of UAE, Abu Dhabi .
15. Turen,Seref (1995), Performance and Risk Analysis of the Islamic
Bank,the Case of Bahrain Islamic Bank,Journal of King AbdulazizUniversity,Islamic Economics,Vol 7 .

110


1. www.bis.org
2.www.aaoifi.com
3.www.ifsb.org
4.www.microfinancegateway.org
5.www.kantakji.com
6.www.isdb.org
7.www.shariyah.com
8.www.bltagi.com
9.www.jordanislamicbank.com
10.www.iiabank.com.jo
11.www.hbtf.com
12. www.ajib.com

111

Canonical

Canonical Analysis Summary (Spreadsheet1.sta)
Canonical R: .99991
Chi(15)=137.33 p=0.0000
Right
Left
Set
Set
3
5
100.000%
98.5414%
99.1004%
98.4132%
B1
A1
B2
A2
B3
A3
A4
A5

N=18

No. of variables
Variance extracted
Total redundancy
Variables:
1
2
3
4
5

Eigenvalues (Spreadsheet1.sta)
Root 3
Root 2 Root 1 Root
0.475997 0.823879 0.999817 Value

Plot of Eigenvalues
1.1
1.0
0.9
0.8

Value

0.7
0.6
0.5
0.4
0.3
0.2
0.1
0.0

2
Number of Canonical Roots

112

Chi-Square Tests with Successive Roots Removed

(Spreadsheet1.sta)
Lambda
p
df Chi-sqr. Canonicl Canonicl
Prime
R-sqr.
R
0.000017 0.000000 15 137.3306 0.999817 0.999908
0.092288 0.000232 8 29.7855 0.823879 0.907678
0.524003 0.044440 3
8.0782 0.475997 0.689925

Correlations, left set (Spreadsheet1.sta)

A5
A4
A3
A2
0.972978 0.976381 0.953169 0.965327
0.989126 0.995731 0.983459 1.000000
0.968928 0.985735 1.000000 0.983459
0.985669 1.000000 0.985735 0.995731
1.000000 0.985669 0.968928 0.989126

A1
1.000000
0.965327
0.953169
0.976381
0.972978

Root
Removed
0
1
2

Root
Removed
A1
A2
A3
A4
A5

Correlations, right set (Spreadsheet1.sta)

Root
Removed
B3
B2
B1
0.964395 0.979372 1.000000 B1
0.977368 1.000000 0.979372 B2
1.000000 0.977368 0.964395 B3

Correlations, left set with right set (Spreadsheet1.sta)

B3
B2
B1
0.967784 0.980307 0.979883
0.969916 0.984055 0.993926
0.964667 0.990863 0.972302
0.983361 0.990565 0.991802
0.963302 0.984052 0.985761

113

Root
Removed
A1
A2
A3
A4
A5

Plot of Canonical Correlations

1.1
1.0
0.9
0.8

Value

0.7
0.6
0.5
0.4
0.3
0.2
0.1
0.0

2
Number of Canonical Roots

114

Canonical Variables: Var. 1 (left set) by 1 (right set)

2.5

2.0

1.5

Right set

1.0

0.5

0.0

-0.5

-1.0

-1.5
-1.5

-1.0

-0.5

0.0

0.5

1.0

1.5

2.0

2.5

Left set

Factor Structure, left set (Spreadsheet1.sta)

Root 3
Root 2
Root 1
-0.025230 -0.016512 0.985459
0.014978 -0.066663 0.993606
0.013584 0.091900 0.987631
-0.057490 -0.031922 0.996734
0.036068 -0.017136 0.989781

Root
Variable
A1
A2
A3
A4
A5

Variance Extracted (Proportions), left set

(Spreadsheet1.sta)
Reddncy.

Root
Factor

0.981209
0.002385
0.000538

Variance
extractd
0.981389 Root 1
0.002895 Root 2
0.001130 Root 3

Factor Structure, right set (Spreadsheet1.sta)

Root 3
Root 2
Root 1
0.036015 -0.108769 0.993414
-0.012048 0.088562 0.995998

115

Root
Variable
B1
B2

Factor Structure, right set (Spreadsheet1.sta)

Root
Root 3
Root 2
Root 1 Variable
-0.205952 0.002768 0.978558 B3

Variance Extracted (Proportions), right set

(Spreadsheet1.sta)
Reddncy.
Variance
extractd
0.978640 0.978820
0.005405 0.006561
0.006959 0.014619

Root
Variable
Root 1
Root 2
Root 3

Canonical Weights, left set (Spreadsheet1.sta)

Root 3
Root 2 Root 1
2.8173 -0.97880 0.337488
10.4768 -9.55672 0.262005
2.6544 5.05704 0.281671
-15.5007 1.59280 0.041927
-0.3613 3.91813 0.088012

Variable
A1
A2
A3
A4
A5

Canonical Weights, right set (Spreadsheet1.sta)

Root 3
Root 2 Root 1
1.99125 -4.58828 0.432069
2.59122 5.69181 0.529257
-4.65888 -1.13531 0.044594

Variable
B1
B2
B3

Canonical Analysis Summary
(Spreadsheet1.sta)
Canonical R: .99977
Chi(15)=136.46 p=0.0000
Right
Set
3
100.000%
97.8541%
B1
B2
B3

116

N=18
Left
Set
5
77.7533%
75.0321%
A1
A2
A3
A4
A5

No. of variables
Variance extracted
Total redundancy
Variables:
1
2
3
4
5

Eigenvalues (Spreadsheet1.sta)
Root 3

Root 2 Root 1 Root

0.629697 0.893823 0.999538 Value

Plot of Eigenvalues
1.1
1.0
0.9
0.8

Value

0.7
0.6
0.5
0.4
0.3
0.2
0.1
0.0

Number of Canonical Roots

Chi-Square Tests with Successive Roots Removed (Spreadsheet1.sta)

Lambda
p
df Chi-sqr. Canonicl Canonicl
Prime
R-sqr.
R
0.000018 0.000000 15 136.4601 0.999538 0.999769
0.039318 0.000003 8 40.4510 0.893823 0.945422
0.370303 0.006087 3 12.4179 0.629697 0.793534

Root
Removed

Correlations, left set (Spreadsheet1.sta)

A5
A4
A3
0.777169 0.018891 0.881209
0.848211 -0.128378 0.769787
0.876431 0.027188 1.000000
-0.021915 1.000000 0.027188
1.000000 -0.021915 0.876431

Root
Removed
A1
A2
A3
A4
A5

117

A2
0.882737
1.000000
0.769787
-0.128378
0.848211

A1
1.000000
0.882737
0.881209
0.018891
0.777169

0
1
2

Correlations, right set (Spreadsheet1.sta)

Root
Removed
B3
B2
B1
0.892218 0.917439 1.000000 B1
0.730175 1.000000 0.917439 B2
1.000000 0.730175 0.892218 B3

Correlations, left set with right set (Spreadsheet1.sta)

B3
B2
B1
0.737184 0.973852 0.946607
0.612169 0.916977 0.819920
0.943701 0.892931 0.969791
0.050147 0.053847 0.002827
0.768523 0.879314 0.803124

Plot of Canonical Correlations

1.1
1.0
0.9
0.8

Value

0.7
0.6
0.5
0.4
0.3
0.2
0.1
0.0

2
Number of Canonical Roots

118

Root
Removed
A1
A2
A3
A4
A5

Canonical Variables: Var. 1 (left set) by 1 (right set)

1.5

1.0

0.5

Right set

0.0

-0.5

-1.0

-1.5

-2.0

-2.5
-2.5

-2.0

-1.5

-1.0

-0.5

0.0

0.5

1.0

1.5

Left set

Factor Structure, left set (Spreadsheet1.sta)

Root 3
Root 2
0.187372 0.123832
0.085641 0.292388
-0.177153 -0.193533
-0.262599 0.104014
-0.410533 0.178271

Root 1
-0.972681
-0.876301
-0.964043
-0.033251
-0.866582

Root
Variable
A1
A2
A3
A4
A5

Variance Extracted (Proportions), left set (Spreadsheet1.sta)

Reddncy.
Variance
extractd
0.678779 0.679092
0.032335 0.036176
0.039208 0.062264

Root
Factor

Factor Structure, right set (Spreadsheet1.sta)

Root 3
Root 2
0.064298 -0.167570
0.007382 0.234605
-0.302873 -0.420910

Root
Variable
B1
B2
B3

119

Root 1
-0.983761
-0.972063
-0.855045

Root 1
Root 2
Root 3

Variance Extracted (Proportions), right set

(Spreadsheet1.sta)
Reddncy.
0.880858
0.077549
0.020134

Canonical Weights, left set (Spreadsheet1.sta)

Root 3
Root 2
0.86022 1.88735
0.77594 -0.66758
0.00066 -3.08306
-0.21744 0.10992
-1.74257 1.98223

Root
Variable
Variance
extractd
0.881265 Root 1
0.086761 Root 2
0.031974 Root 3

Root 1
-0.451824
-0.109018
-0.474681
-0.025970
-0.007513

Variable
A1
A2
A3
A4
A5

Canonical Weights, right set (Spreadsheet1.sta)

Root 3
Root 2
Root 1
3.89757 -1.92225 -0.434333
-1.73095 2.25598 -0.497410
-2.51646 -0.35310 -0.104330

Variable
B1
B2
B3

Eigenvalues (Spreadsheet1.sta)
Extraction: Principal components
Cumulative
Cumulative
% Total
%
Eigenvalue variance
76.34027
6.107221 76.34027
89.25265
7.140212 12.91239

Factor Loadings (Unrotated) (Spreadsheet1.sta)

Extraction: Principal components
(Marked loadings are >.700000)
Factor
2
-0.005992
0.182034
-0.054648
-0.991524
0.039488
-0.020105
-0.029548
-0.104290
1.032991

120

Value
Eigenvalue
6.107221 1
1.032991 2

Variable
Factor
1
-0.950430
-0.895274
-0.969280
-0.001530
-0.909758
-0.972454
-0.966963
-0.868643
6.107221

A1
A2
A3
A4
A5
B1
B2
B3
Expl.Var

Factor Loadings (Unrotated) (Spreadsheet1.sta)

Extraction: Principal components
(Marked loadings are >.700000)
Factor
2
0.129124

Variable
Factor
1
0.763403 Prp.Totl

Plot of Eigenvalues
7.0
6.5
6.0
5.5
5.0
4.5
Value

4.0
3.5
3.0
2.5
2.0
1.5
1.0
0.5
0.0

Number of Eigenvalues

Reproduced Correlations (Spreadsheet1.sta)

Extraction: Principal components
B3
B2
B1
A5
A4
0.83 0.92 0.92 0.86 0.01
0.76 0.86 0.87 0.82 -0.18
0.85 0.94 0.94 0.88 0.06
0.10 0.03 0.02 -0.04 0.98
0.79 0.88 0.88 0.83 -0.04
0.85 0.94 0.95 0.88 0.02
0.84 0.94 0.94 0.88 0.03
0.77 0.84 0.85 0.79 0.10

121

Variable
A3
0.92
0.86
0.94
0.06
0.88
0.94
0.94
0.85

A2
0.85
0.83
0.86
-0.18
0.82
0.87
0.86
0.76

A1
0.90
0.85
0.92
0.01
0.86
0.92
0.92
0.83

A1
A2
A3
A4
A5
B1
B2
B3

Residual Correlations (Spreadsheet1.sta)

Extraction: Principal components
(Marked residuals are > .100000)
B3
B2
B1
A5
A4
A3
-0.09 0.05 0.02 -0.09 0.01 -0.04
-0.15 0.06 -0.05 0.03 0.05 -0.09
0.10 -0.05 0.03 -0.00 -0.03 0.06
-0.05 0.02 -0.02 0.02 0.02 -0.03
-0.02 0.00 -0.08 0.17 0.02 -0.00
0.05 -0.02 0.05 -0.08 -0.02 0.03
-0.11 0.06 -0.02 0.00 0.02 -0.05
0.23 -0.11 0.05 -0.02 -0.05 0.10

Communalities (Spreadsheet1.sta)
Extraction: Principal components
Rotation: Unrotated
Multiple
R-Square
0.997948
0.976379
0.998277
0.643114
0.979439
0.997936
0.998311
0.976107

Variable
A2
0.03
0.17
-0.09
0.05
0.03
-0.05
0.06
-0.15

A1
0.10
0.03
-0.04
0.01
-0.09
0.02
0.05
-0.09

Variable
From 2
Factors
0.903352
0.834652
0.942490
0.983122
0.829219
0.946071
0.935891
0.765417

From 1
Factor
0.903316
0.801515
0.939503
0.000002
0.827659
0.945666
0.935018
0.754540

Factor Loadings (Unrotated) (Spreadsheet1.sta)

Extraction: Principal components
(Marked loadings are >.700000)
Factor
Factor
2
1
-0.005992 -0.950430
0.182034 -0.895274
-0.054648 -0.969280
-0.991524 -0.001530
0.039488 -0.909758
-0.020105 -0.972454
-0.029548 -0.966963
-0.104290 -0.868643
1.032991 6.107221
0.129124 0.763403

122

A1
A2
A3
A4
A5
B1
B2
B3

A1
A2
A3
A4
A5
B1
B2
B3

Variable

A1
A2
A3
A4
A5
B1
B2
B3
Expl.Var
Prp.Totl

Factor Loadings, Factor 1 vs. Factor 2

Rotation: Unrotated
Extraction: Principal components
0.4
A2

0.2
0.0

A5
A1
B1
B2
A3
B3

Factor 2

-0.2
-0.4
-0.6
-0.8
A4

-1.0
-1.2
-1.2

-1.0

-0.8

-0.6

-0.4

-0.2

0.0

0.2

Factor 1

Factor Score Coefficients (Spreadsheet1.sta)

Rotation: Unrotated
Extraction: Principal components
Factor
Factor
2
1
-0.005801 -0.155624
0.176220 -0.146593
-0.052903 -0.158710
-0.959857 -0.000250
0.038227 -0.148964
-0.019462 -0.159230
-0.028604 -0.158331
-0.100959 -0.142232

Variable

A1
A2
A3
A4
A5
B1
B2
B3

Eigenvalues (Spreadsheet1.sta)
Extraction: Principal components
Cumulative Cumulative
% Total
%
Eigenvalue variance
98.12828
7.850262 98.12828

123

Value
Eigenvalue
7.850262 1

Reproduced Correlations (Spreadsheet1.sta)

Extraction: Principal components
B3
B2
B1
A5
A4
A3
A2
0.97 0.98 0.98 0.97 0.98 0.97 0.98
0.98 0.99 0.99 0.99 0.99 0.98 0.99
0.97 0.98 0.98 0.98 0.98 0.97 0.98
0.98 0.99 0.99 0.99 1.00 0.98 0.99
0.97 0.99 0.98 0.98 0.99 0.98 0.99
0.98 0.99 0.99 0.98 0.99 0.98 0.99
0.98 0.99 0.99 0.99 0.99 0.98 0.99
0.97 0.98 0.98 0.97 0.98 0.97 0.98

Residual Correlations (Spreadsheet1.sta)

Extraction: Principal components
(Marked residuals are > .100000)
B3
B2
B1
A5
A4
A3
0.00 0.00 0.00 -0.00 -0.01 -0.02
-0.01 -0.01 0.01 0.00 0.00 0.00
-0.01 0.01 -0.01 -0.01 0.00 0.03
0.00 -0.00 0.00 -0.00 0.00 0.00
-0.01 -0.00 0.00 0.02 -0.00 -0.01
-0.01 -0.01 0.01 0.00 0.00 -0.01
-0.00 0.01 -0.01 -0.00 -0.00 0.01
0.03 -0.00 -0.01 -0.01 0.00 -0.01

Variable
A1
0.97
0.98
0.97
0.98
0.97
0.98
0.98
0.97

A1
A2
A3
A4
A5
B1
B2
B3

Variable
A2
-0.01
0.01
0.00
0.00
0.00
0.01
-0.01
-0.01

Communalities (Spreadsheet1.sta)
Extraction: Principal components
Rotation: Unrotated
Multiple
R-Square
0.998505
0.999122
0.998323
0.998011
0.994518
0.999126
0.999420
0.983216

Factor Loadings (Unrotated)

(Spreadsheet1.sta)
Extraction: Principal components
(Marked loadings are >.700000)
Factor
1

A1
0.03
-0.01
-0.02
-0.01
-0.00
0.00
0.00
0.00

A1
A2
A3
A4
A5
B1
B2
B3

Variable
From 1
Factor
0.967688
0.989195
0.973565
0.996123
0.981226
0.985639
0.990398
0.966428

A1
A2
A3
A4
A5
B1
B2
B3

Variable

-0.983712 A1
-0.994583 A2

124

Factor Loadings (Unrotated)

(Spreadsheet1.sta)
Extraction: Principal components
(Marked loadings are >.700000)
Factor
1

Variable

-0.986694
-0.998060
-0.990569
-0.992794
-0.995187
-0.983071
7.850262
0.981283

Factor Score Coefficients (Spreadsheet1.sta)

Rotation: Unrotated
Extraction: Principal components
Factor
1
-0.125309
-0.126694
-0.125689
-0.127137
-0.126183
-0.126466
-0.126771
-0.125228

125

A3
A4
A5
B1
B2
B3
Expl.Var
Prp.Totl

Variable

A1
A2
A3
A4
A5
B1
B2
B3

126

127

128

129

130

131

132

133

134

135

136