We study how contingent capital affects banks' risk choices. When triggered in highly levered states, going …-concern conversion reduces risk-taking incentives, unlike conversion at default by traditional bail-inable debt. Interestingly …, contingent capital (CoCo) may be less risky than bail-inable debt as its lower priority is compensated by a lower induced risk …

risk drivers. The choice of the credit risk drivers is inspired by the Merton (1974) model. Individual CDS liquidity and … different signals from liquidity based CDS spread changes than from business cycle or credit risk based changes. For the recent … financial crisis, we confirm that the steeply rising CDS spreads are due to increased credit risk. However, individual CDS …

2008 were associated with banks being significantly more likely to escape TARP. In addition, we find that larger publicly … traded banks with better accounting performance, the stronger capital ratios, and fewer troubled loans and other assets … exited early. Banks that raised private capital in 2009 were significantly more likely to return the taxpayers’ money early …

This paper finds that banks that offered lower opening bids were rewarded with significantly lower warrant repurchase … bias in negotiations, these are real transactions involving large sums of money. This paper finds that larger banks paid …

We study how contingent capital affects banks' risk choices. When triggered in highly levered states, going …-concern conversion reduces risk-taking incentives, unlike conversion at default by traditional bail-inable debt. Interestingly …, contingent capital (CoCo) may be less risky than bail-inable debt as its lower priority is compensated by a lower induced risk …

banks about their profitability, which in turn respond by providing more credit. Entry and exit from the credit market … during the last decade to study non-financial firm performance and bank credit dynamics. Access to broadband unleashes firm … of the observed interest rates, which is consistent with the fact that our credit market results are concentrated among …

percent less cyclical than other local banks. The result is credit supply-side driven and especially strong for savings banks … on financial stability and the real economy. We investigate the cyclicality of SME lending by local banks with vs … credit demand-side factors. The public mandate is set by local governments and stipulates a deviation from strict profit …

We show that credit supply shocks have a strong impact on firm-level as well as aggregate investment by applying the … one banking relationship as long as they account for only a small share of the total loan volume of their banks. The …

levy was implemented supply more credit. This increase is more significant for larger lenders and banks that are more … banks' liabilities thereby decreasing the cost of equity relative to the cost of debt. Using a difference …-in-differences approach we assess the impact of this tax levy on banks' participation in the syndicated loan market. We further investigate …

the distribution of risk via credit supply. For identification, we exploit exhaustive US loan-level data since the 1990s …, borrowerlender relationships and Gertler-Karadi monetary policy shocks. Higher policy rates shift credit supply from banks to …, higher policy rates increase risk-taking, as less-regulated, fragile nonbanks -in all credit markets- expand supply to …