provisions tend to be more procyclical at larger and better capitalized banks. The procyclicality of loan loss provisions can …

the 26 largest euro area banking groups. Banks with more customer deposits are negatively affected by negative rates, as …We show that negative monetary policy rates induce systemic banks to reach-for-yield. For identification, we exploit … higher returns. Effects are stronger for less capitalized banks, private sector (financial and non-financial) securities and …

. Among the deposit rates, the interest rates of the overnight deposits are the least sensitive. Banks' asset quality …This paper investigates the relationship between bank funding costs and solvency for a large sample of euro area banks …

partial equilibrium model of euro area funds and banks calibrated over the period between 2008 and 2017. An initial shock to … yields causes funds to sell assets to address investor redemptions, while both banks and funds sell assets to keep their … banks. However, funds' relative contribution has risen due to their increased assets under management and banks' lower …

This paper studies the impact of voluntary climate commitments by banks on their lending activity. We use … increased participation by the largest banks and banks with the most pre-existing exposure to high-polluting industries. Setting … priority for decarbonization. However, climate-aligned banks do not change their lending or loan pricing differentially …

This paper studies the bilateral drivers of mergers and acquisitions (M&As) between European banks. Two findings … document that banks use M&A as a device to leverage their expertise rather than to diversify. (i) Following the literature on … matrimonial matching by using a binary logit model, the paper examines how the structure of acquiring banks in terms of …

Can banks trade credit default swaps (CDSs) referenced on their current corporate clients at competitive prices, or are … banks penalized for potentially holding private information? To answer this question we merge CDS trades reported under the … that the same dealer offers to banks and to other investors. We find that banks lending to a corporation purchase CDSs on …

many banks have a MRP below one, indicating that those banks have little incentive to enhance their efficiency to increase …-conduct performance, and 'quiet life' hypotheses and to detect comparatively weak non-competitive banks. Our new measure of firm …

that mergers disrupt lending relationships, specially to small borrowers of target banks. However, I find significant …, consolidated banks reduce loan interest rates. The most beneficial mergers from the borrower point of view are those involving two … large banks and commercial banks. While the reduction in interest rates is larger when the acquirer and the target have some …