Studies of intermediated arbitrage argue that bank balance sheets are an important consideration, yet little evidence …

We propose a framework for estimation of spillovers between funding costs of individual banks. The estimation proceeds … in three steps: First, using data from liquidity auctions of the European Central Bank, we estimate the funding costs in … a given week for each individual bank. In the second step, we apply the adaptive elastic net (a LASSO type estimator) to …

The prevalence of shirking within a large Italian bank appears to be characterized by significant regional …

We examine the effect of negative nominal interest rates on bank profitability and behavior using a cross-country panel …

first comprehensive empirical analysis of bank CoCo issues, a market segment that comprises over 730 instruments totaling …

Although policymakers often discuss tradeoffs between bank competition and stability, past research provides differing … competition materially boosts bank risk. With respect to the mechanisms, we find that competition reduces bank profits, charter …

monetary policy. The theory unifies an endogenous supply of illiquid local loans and risk-sharing among subsidiaries of bank …

The largest commercial bank stocks, ranked by total size of the balance sheet, have significantly lower risk …-adjusted returns than small- and medium-sized bank stocks, even though large banks are significantly more levered. We uncover a size … factor in the component of bank returns that is orthogonal to the standard risk factors, including small-minus-big, which has …

financial sector. We show that bank size, purely on strategic grounds, is a key determinant of banks' leverage choices, even …