moral hazard implications. Exploiting bank-level information on the universe of commercial and savings banks in the United …

trading of German savings banks. The paper employs a preliminary panel data analysis of financial statements of all German … savings banks from the years of 2013 to 2015 in order to cluster the German savings banks from passive to active proprietary … strategies for the strategic asset allocation of German savings banks by their future return distribution paths …

Our analysis finds that, although a growing number of savings banks are making payouts, the majority do not make any …. Furthermore, savings banks distribute only a small part of their net profit to the shareholders. This means that they can build up … capital despite making payouts. Savings banks also hold significantly more capital than is called for by the regulatory …