Conventional wisdom in banking argues that diversification tends to reduce bank risk and improve performance, but the … diversification strategy. The marginal effects of focus indices (inverse measures of diversification) on performance are nonlinearly … recent financial crisis suggests that aggressive diversification strategies may have resulted in increased risk taking and …

changes in the diversification nature of banks activities. We analyzed the financial statements of (13) Jordanian banks on …) to measure the diversification degree of revenue, credit, and deposits activities.The study concluded that (a) stock … market has evaluated the changes in revenue diversification more efficiently than changes in the structure of credit or …

The paper examines how loan portfolio diversification drives bank returns, mainly focusing on the conditioning roles of … increased sectoral loan portfolio diversification reduces bank returns, but not all banks are equally affected. Banks that … adopted a business model towards non-interest activities are hurt less from loan portfolio diversification, and bank market …