Frictions prevent banks to immediately adjust their capital ratio towards their desired and/or imposed level. This …; (ii) which adjustment channels banks use to adjust their capital ratio; and (iii) how the speed of adjustment and … adjustment channels differ between large, systemic and complex banks versus small banks. Our results, obtained using a sample of …

We aim to assess how accurately accounting and stock market indicators predict rating changes for Asian banks. We … indicators but are more effective in predicting upgrades than downgrades, especially for large banks. Moreover, early indicators … are only significant in predicting rating changes for banks that are more focused on traditional banking activities such …

We investigate whether excess control rights of ultimate owners in pyramids affect banks׳ capital ratio adjustments …. When control and cash flow rights are identical, to boost capital ratios banks issue equity without cutting lending …. However, when control rights exceed cash flow rights, instead of issuing equity, banks downsize by reducing lending. Such a …

This paper examines the relationship between opacity and the cost of intermediation in Asian banks. Using a sample of … publicly traded commercial banks from 2002 to 2008, our empirical results show that higher opacity is associated with a lower …

This paper examines the impact of bank revenue diversification on the performance of banks in an emerging economy … banks are more involved in trading in government securities. Our results also indicate that foreign banks benefit more from … advocating loans to SMEs and find that higher involvement in non-interest activities is only beneficial for banks with low …

This paper examines whether Asian banks are still prone to moral hazard in the aftermath of the 1997 Asian crisis …. Using a sample of commercial banks from 12 Asian countries during the 2001–2007 period, our empirical findings highlight … that greater market power in the banking market results in higher instability. Although banks are better capitalized in …

We aim to assess how accurately accounting and stock market indicators predict rating changes for Asian banks. We … indicators but are more effective in predicting upgrades than downgrades, especially for large banks. Moreover, early indicators … are only significant in predicting rating changes for banks that are more focused on traditional banking activities such …

the extent to which bank liabilities are market traded. For banks heavily relying on deposits, the market does not convey …