This paper explores how the global turmoil affected the risk of banks operating in Chile, and provides evidence that … default risk codependence, or CoRisk, between Chilean banks and global financial institutions. The results suggest that the … impact of the global financial crisis was limited, inducing at most a one-rating downgrade to banks operating in Chile. The …

another large local or foreign counterpart, and vice-versa. Our results reveal several key trends among major global banks …: contagion risk among banks exhibits "home bias"; individual banks are affected differently by idiosyncratic shocks to their … major counterparts; and banks are affected differently by common shocks to the real economy or financial markets. In general …

absence of granular information on banks’ trading and loan portfolios. To deal with these data shortcomings, this paper …. As an illustration, the methodology is applied to a set of banks in an advanced emerging market economy. …

in general, better capitalized and less leveraged banks have outperformed their peers, a finding that supports …