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One of the main problems in the Iranian Banking industry is lake of a comprehensive and native model for assessing financial strength of Iranian banks. So the aim of this study is to develop a model to meet this problem. Banks financial strength deal with banks inherent safety and soundness. To design and develop the model, an initial conceptual model was developed by extensive study of various dimensions, factors and indicators of assessing banks financial strength and extraction of widely used of them. Then, this conceptual model validated and localized at three steps. In the first step, content validity of the model was tested by expert panel and some modifications was made in the model. In the second step, construct validity of the model was tested based on opinions of expert panel formed of faculty members, managers and experts in the field of banking and related capital market financial analysts. Finally in the third step, reliability of the model was tested. The final model which is constructed from 4 dimensions, 8 factors and 51 indicators can be used as a native and novel model for assessing the financial strength of Iranian banks. The results show that the dimension of financial position with weight of 32 percent has the most contribution in reflecting Iranian banks financial strength. After that, the competitive position, the management position and the risk position with weights of 26, 25 and 16 percent, respectively have next ranks.

One of the essential needs of Iranian financial market participants (including money market and capital market participants) is rating Iranian banks based on their financial strength. This rating helps stakeholders, including shareholders, investors, customers, central bank and etc., to obtain more accurate information regarding inherent safety and soundness of Iranian banks. The aim of this study is rating Iranian banks, based on financial strength, specifically those listed on the Tehran Stock Exchange (TSE) and Iran OTC market. All the banks were separated into two groups of privatized and non-governmental banks. The period of the research is 5 years from 2012 to 2016. For this purpose, first a financial strength score was determined for each of the banks using a reflective component-based model which includes 4 dimensions, 8 factors and 51 indicators, Then the banks were ranked based on their financial strength scores in two separate groups of privatized and non-governmental banks. The results show that privatized banks compared with non-governmental banks have higher financial strength scores. In the group of privatized banks, Mellat Bank had the highest score and hence the highest rank in terms of financial strength. In the group of non-governmental banks, Pasargad Bank, EN Bank and Parsian Bank, respectively had the highest scores and hence the highest ranks in terms of financial strength.

One of the essential needs for Iranian financial market participants (including money market and capital market participants) is rating them based on their financial strength rating. This rating help stakeholders, including shareholders, investors, customers, central bank and etc., to obtain more accurate information regarding inherent safety and soundness of Iranian banks. So the aim of this study is rating Iranian banks, based on financial strength, certainly whose listed on the Tehran Stock Exchange (TSE) and Iran OTC market. All under studied banks were separated into two groups of privatized and non-governmental banks. The period of the research is 5 years from 2012 to 2016. For this purpose, first a financial strength score was determined for each of the banks by using a reflective component-based model which is constructed from 4 dimensions, 8 factors and 51 indicators, Then the banks was ranked based on their financial strength scores in two separate groups of privatized and non-governmental banks. The results show that privatized banks compared with non-governmental banks have higher financial strength scores. In the group of privatized banks, Bank Mellat had the highest score and hence the highest rank in terms of financial strength. In the group of non-governmental banks, Bank Pasargad, Parsian Bank and EN bank, respectively had the highest scored and hence the highest ranks in terms of financial strength.

Decision making about capital structure is one of the most difficult and challenging issues facing companies. The capital structure of a business is the mix of types of debts and equities the company has on its balance sheet. The main purpose of this study is to examine the potential curvilinear relationship between capital intensity and financial leverage in the companies listed on Tehran Stock Exchange. Also, this study examines the relationship between financial strength, growth and financial leverage. The sample of this study, includes 110 companies listed on the Tehran Stock Exchange during the period 2007-2011 and for processing and testing hypotheses, regression method has been employed. The study finds no evidence of the impact of growth on the financial leverage and positive impact of financial strength on the financial leverage. Moreover, the findings support the U-shaped relationship between capital intensity and financial leverage in the companies listed on Tehran Stock Exchange