Showing 1 - 10 of 1,777
We study risk management in financial institutions using data on hedging of interest rate and foreign exchange risk. We find strong evidence that institutions with higher net worth hedge more, controlling for risk exposures, across institutions and within institutions over time. For...
Persistent link: https://www.econbiz.de/10012903889
This study bridges the gap between theory and practice of risk management in banks incorporated in Saudi Arabia. The … risk management practices (RMPs). This study surveys representatives from banks to elicit their opinion regarding the … role played by boards in risk management (RM).The results suggest that banks in Saudi Arabia have an efficient risk …
Persistent link: https://www.econbiz.de/10013063843
observability of the volume of credit derivatives held by banks is not necessary. …
Persistent link: https://www.econbiz.de/10010263017
, nondiversified banks. In particular, I test whether greater geographic diversification of banks has effects on the risk taking …. These findings indicate that a bank's diversification also impacts the risk taking of competitors, even if these banks are …
Persistent link: https://www.econbiz.de/10013114769
We show that negative policy rates affect the supply of bank credit in a novel way. Banks are reluctant to pass on … negative rates to depositors, which increases the funding cost of high-deposit banks, and reduces their net worth, relative to … low-deposit banks. As a consequence, the introduction of negative policy rates by the European Central Bank in mid-2014 …
Persistent link: https://www.econbiz.de/10011881156
How much deposits and equity a bank has influences how a banks’ lending responds to monetary policy. While the … show in a value-at-risk RTC model that the lending for banks with relatively more equity and non-interest-bearing deposits … should respond less to monetary policy tightening. This suggests that non-interest-bearing deposits act as “pseudo capital …
Persistent link: https://www.econbiz.de/10013390943
economic down-cycle. The article finds that while a healthy competition would support the overall stability of banks, a fierce …The literature is unsettled on the simultaneous existence of Competition-Stability and Competition-Fragility phenomena … with 2-SLS system equation modeling to further explore linkages between competition, systemic risk, and stability …
Persistent link: https://www.econbiz.de/10014500859
The paper investigates the factors crucial in the locational decisions of multinational German banks in selected … characteristics. Results indicate that FDI by non-banks exerted a strong pull effect on banking FDI flows, as did highly developed … backing of short-term banking deposits by international currency reserves. In almost all regressions, this financial crisis …
Persistent link: https://www.econbiz.de/10010295628
The paper discusses the question of whether financial participation of multilateral development banks does prompt … private investors to inject more risky equity capital in emerging market banks. Using a theoretical model, it is stipulated …
Persistent link: https://www.econbiz.de/10010295629
This paper gives an overview over corporate governance and banking regulation in Germany. Particular attention is put on legal and regulatory changes that were made in response to the financial market crisis. The paper shows that the changes mainly focus on the remuneration of managers and on...
Persistent link: https://www.econbiz.de/10010299931