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The article deals with the liquidity risk in the banks in the context of the financial crisis. At first, the balance … sheet and market liquidity are defined and the main principles of the methods for measuring liquidity risk, which banks use …, are identified. Then follow review of main challenges of managing the liquidity of banks. Finally, it discusses …
Persistent link: https://www.econbiz.de/10011460084
international subsidiary locations and risk of U.S. bank holding companies (BHCs). We find that U.S. BHCs are more likely to operate …This study investigates the implications of cross-country differences in banking regulation and supervision for the … subsidiaries in countries with weaker regulation and supervision and that such location decisions are associated with elevated BHC …
Persistent link: https://www.econbiz.de/10011623274
regulation, recovery and resolution, and risk culture. …
Persistent link: https://www.econbiz.de/10011554963
to a liquidity regulation that is very similar to Basel III's Liquidity Coverage Ratio (LCR). We find that most banks …We investigate 62 Dutch banks' liquidity behaviour between January 2004 and March 2010, when these banks were subject … the regulation. More solvent banks hold fewer liquid assets against their stock of liquid liabilities, suggesting an …
Persistent link: https://www.econbiz.de/10013102548
, liquidity management, and synergy improvements that reduce risk. The outcomes of such trade-offs may depend on bank governance … this type of complexity, leading to a decrease in systemic risk and an increase in liquidity risk among BHCs. While bank …Bank holding companies (BHCs) can be complex organizations, conducting multiple lines of business through many distinct …
Persistent link: https://www.econbiz.de/10012234342
global liquidity flows include monetary policy in advanced economies and risk conditions. At the same time, the sensitivities … driving risk migration from banks to nonbank financial institutions. Risk sensitivities and flightiness of global liquidity …Global liquidity flows are largely channeled through banks and nonbank financial institutions. The common drivers of …
Persistent link: https://www.econbiz.de/10014501217
Does an increase in competition increase or decrease bank stability? I exploit how the state-specific process of … significantly increases bank stability. This result is robust to the inclusion of additional fixed effects and other influences … loans and increases bank profitability. These findings suggest that competition increases stability as it improves bank …
Persistent link: https://www.econbiz.de/10011559788
regulatory requirements. Our analytic characterization of the bank policy choices shows that imposing solely liquidity … requirements leads to lower bank losses in default at the cost of an increased likelihood of default. Combining liquidity …We develop a dynamic model of banking to assess the effects of liquidity and leverage requirements on banks' insolvency …
Persistent link: https://www.econbiz.de/10011293576
-level sources of risk are much easier for corporate governance and regulation to address than risk arising at the systemic level … limited role in the regulation of systemic risk and then relates this discussion to the current state of affairs in the …This paper examines how corporate governance reform of banks relates to systemic risk. Although there has been …
Persistent link: https://www.econbiz.de/10014180082
market for pricing and trading mortgage credit risk, which has grown in size and liquidity over time. The CRT programs …We summarize and evaluate Fannie Mae and Freddie Mac's credit risk transfer (CRT) programs, which have been used since … 2013 to shift a portion of credit risk on more than $1.8 trillion of mortgages to private sector investors. We argue that …
Persistent link: https://www.econbiz.de/10011806244