The paper develops a network-based framework to assess the impact of a firm's financial interconnections and interdependencies on it optimal hedging and risk transfer strategy. This is important consideration as risk concentrations and propagation embedded in risk transfers pose as a significant...

We analyze the impact of managerial compensation structure in publicly-traded banks on their risk taking behavior, specifically the changes in risk taking through the changing regulatory environment for these banks. We perform a simulation analysis to study the impact of the interaction between...