Berndt, Antje; Gupta, Anurag - In: Journal of Monetary Economics 56 (2009) 5, pp. 725-743
Bank credit has evolved from the traditional relationship banking model to an originate-to-distribute model. We show that the borrowers whose loans are sold in the secondary market underperform their peers by about 9% per year (risk-adjusted) over the three-year period following the initial sale...