The Liquidity Coverage Ratio (LCR) is a regulatory standard set by the Basel III framework, designed to ensure that banks have enough liquid assets to cover their short-term obligations during times of financial stress. While it is an important measure for assessing liquidity risk, it is not a profitability index.
On the other hand, Return on Assets (ROA), Return on Equity (ROE), Net Interest Margin (NIM), and Cost-to-Income Ratio are all profitability indicators used to assess a bank's financial performance and profitability.
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