In this paper, we examine the impact of corporate governance mechanisms on the quality of operational risk disclosures provided in the annual reports and risk reports in a representative sample of 63 publicly listed European banks for the fiscal years 2008 and 2009. We find that banks having a...

The objective of this study is to examine the effect of the attributes of the board of directors on the compensation of the CEO of thirty European commercial banks. This research uses a technique of static panel data over the period 2004-2009. The study was conducted on a sample of thirty banks...

While executive compensation is often blamed for the excessive risk taking by banks, little is known about the operating performance incentives used in the finance industry both prior to and subsequent to the recent crisis. We provide a comprehensive analysis of incentive design -- the link of...

The main function behind the conceptualization of creative accounting is maintaining the quality of financial reporting practice. This phenomenon has attracted the attention of researchers for decades, especially in the banking sector, concerning its wide implications and indications for...

A well governed institution is expected to use its resources optimally and, thus, perform more efficiently and contribute positively to economic development of a nation. However, often, it can be seen that poor management of the stakeholders leads to less than optimal strategic directions for an...

The aim of this paper is to examine the executive compensation practices in closely-held financial institutions where the corporate governance conflict lies between the blockholder on one hand and minority shareholders and depositors on the other. We study the determinants of the level of bank's...

Using hand-collected data of bank loans and CEO turnovers in China, we investigate whether common ownership compromises creditors’ governance role when borrowers underperform. Unlike prior literature on the overall lack of bank monitoring on state-owned enterprises (SOEs) in China, we argue...

The credit crisis has demonstrated that banks, especially those considered “too big to fail,” pose a particular governance challenge, especially for taxpayers who face an undiversifiable risk of being the final backstop of the financial system. The nexus of bank governance is the board of...