Showing 1 - 10 of 1,855
We develop a dynamic model of banking to assess the effects of liquidity and leverage requirements on banks' insolvency … risk. In this model, banks face taxation, flotation costs of securities, and default costs and maximize shareholder value …
Persistent link: https://www.econbiz.de/10011293576
This study examines the effect of ownership structure on the risk-taking behavior of banks in ASEAN countries. Using a … sample of 96 commercial banks in ASEAN countries from 2002 to 2018, the study demonstrates that the relationship between … ownership structure and bank risk-taking behavior is correlated with the characteristics of individual banks in terms of …
Persistent link: https://www.econbiz.de/10013179549
The moral hazard incentives of the bank safety net predict that distressed banks take on more risk and higher leverage … include financial crises and are subject to different regulatory regimes (1985–1994, 2005–2014). We find that distressed banks …
Persistent link: https://www.econbiz.de/10012216705
Banks are growing ever larger compared to their national economies. We show that increases in relative bank size … (measured as a bank's liabilities divided by national GDP) are linked to banks displaying higher tail risk. This effect is not … entirely due to risk channels that disproportionately expose relatively large banks to systematic tail risks, sovereign risks …
Persistent link: https://www.econbiz.de/10012974803
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
The goal of this paper is to provide alternative approaches to generate indexes in order to assess banking distress. Specifically, we focus on two groups of indexes that are based on the signalling approach and on the zero in ated Poisson models. The results show that the indexes based on these...
Persistent link: https://www.econbiz.de/10009702993
This paper analyses key documents of Basel Committee which concern operational risk governance and identifies the interconnectedness between risk source, type of the event leading to losses, loss type and its distribution by business lines. The comparative characteristic of the main operational...
Persistent link: https://www.econbiz.de/10013040162
the banking industry, many involving the largest and best-known banks. The law has attempted to address these problems … covenant — between highly compensated bankers and their banks under which the bankers would be personally liable from their own … assets for some of their banks' debts and that they be personally liable from several years of their past, present, and …
Persistent link: https://www.econbiz.de/10012999388
losses transmitted after banks default, but also for losses due to the fact that creditors revalue their exposures when … becoming negligible. By decomposing the change in losses into two main contributions — the increase in banks' capital and the … capital among banks is also important …
Persistent link: https://www.econbiz.de/10012952936
We study the interplay of capital and liquidity regulation in a general equilibrium setting by focusing on future funding risks. The model consists of a banking sector with long-term illiquid investment opportunities that need to be financed by short-term debt and by issuing equity. Reliance on...
Persistent link: https://www.econbiz.de/10014366762