We investigate the puzzle in the literature that various parametric loss given default (LGD) statistical models perform … accuracy and rank ordering when mean predictions and squared error loss functions are used. Therefore, the findings in the …

Africa (BRICS) countries affects how banks might employ loan loss provisions (LLPs) to smooth out their earnings and how … adopting the International Financial Reporting Standards (IFRS) can mitigate it. Design/methodology/approach The analysis … financial reports under the IFRS. Path analysis reveals that the effect of TO is driven by nonperforming loans (NPLs …