Based on a sample of banks from eleven European countries over the period 2001-2010, this paper examines the stability of cooperative banks in comparison with other business models, as well as the specific role played by cooperative banks in determining banking soundness. Our findings show that...

The bankruptcy of Lehman Brothers in September 2008 and, shortly afterwards, the near downfall of the insurance conglomerate American International Group (Aig), both of which were heavily involved in the Cds sector, polarised attention towards the Cds activities of the major international banks....