The main aim of this article is to demonstrate a holistic framework for measuring a bank’s financial health by … qualitative and quantitative components, with the banks’ ratings. The dependent variable is the bank’s financial health score …, represented by a dummy variable based on the bank’s rating by the rating agencies and from the relevant value of each bank that …

We develop a dynamic model to assess the effects of liquidity and leverage requirements on banks' insolvency risk. The … model features endogenous capital structure, liquid asset holdings, payout, and default decisions. In the model, banks face …

In this paper we use credit rating data from two Swedish banks to elicit evidence on these banks’ loan monitoring … the Swedish credit bureau. We test the banks’ abilility to forecast the credit bureau’s ratings and vice versa. We show … that one of the banks has a superior predictive ability relative to the credit bureau. This is evidence that bank credit …

This paper sets out the criteria that boards and supervisors should use to determine whether banks are governing risk … correctly. First, boards have to set an overall risk target consistent with the overall return target. Second, the bank’s …

This paper finds that banks that offered lower opening bids were rewarded with significantly lower warrant repurchase … bias in negotiations, these are real transactions involving large sums of money. This paper finds that larger banks paid …

We find evidence that banks target return on equity (RoE) and make active use of leverage to affect the speed of … adjustment towards RoE targets. That holds for both the pre- and post-2007 periods and especially for banks that tend to operate … cyclical fluctuations as banks take on more leverage to achieve high returns when risk premia are low, while ‘rush for the exit …