Showing 1 - 10 of 37
This paper introduces a methodology to estimate the re-use of collateral based on actual transaction data. With a comprehensive dataset from the Swiss franc repo market we are able to provide the first systematic empirical study on the re-use of collateral. We find that re-use was most popular...
Persistent link: https://www.econbiz.de/10011122252
In this paper, we analyze the price setting behavior of banks in the Swiss franc repo market by means of network topology concepts and measures. The sample ranges from October 1999 to December 2009. Hence, it covers a large part of the money market turmoil that started in August 2007. Among...
Persistent link: https://www.econbiz.de/10010895106
We model the choice of loan currency in a framework which features a trade-off between lower cost of debt and the risk of firm-level distress costs. Under perfect information, if foreign currency funds come at a lower interest rate, all foreign currency earners as well as those local currency...
Persistent link: https://www.econbiz.de/10010895107
The Euro Crisis has stopped the process of the European financial integration and triggered a strong repatriation of debt from foreign to domestic investors. We investigate this empirical pattern in light of competing theories of cross-border portfolio allocation. Three empirical regularities...
Persistent link: https://www.econbiz.de/10010895108
We analyse deviations between interest rates paid in the Swiss franc unsecured money market and the respective Libor rate. First, banks that have access to the secured interbank market and the SNB's monetary policy operations pay less than banks without access. Second, domestically unchartered,...
Persistent link: https://www.econbiz.de/10010583705
We examine the firm- and country-level determinants of the currency denomination of small business loans. We first model the choice of loan currency in a framework which features a trade-off between lower cost of debt and the risk of firm-level distress costs, and also examines the impact of...
Persistent link: https://www.econbiz.de/10004991322
credit registry, as lenders rightly fear that borrowers will default. The introduction of a registry in this environment …
Persistent link: https://www.econbiz.de/10005091275
We investigate whether information sharing among banks has affected credit market performance in the transition countries of Eastern Europe and the former Soviet Union, using a large sample of firm-level data. Our estimates show that information sharing is associated with improved availability...
Persistent link: https://www.econbiz.de/10005091286
loan in general. These findings may partially assuage policy concerns about household default risk on foreign …
Persistent link: https://www.econbiz.de/10005091296
We examine the impact of banking sector reforms on interest rates using bank-level data from Kyrgyzstan for 1998-2005. We find that increased confidence in the banking sector has contributed significantly to lowering interest rate levels, while the impact of lower intermediation costs, credit...
Persistent link: https://www.econbiz.de/10005091299