Conventional wisdom in banking argues that diversification tends to reduce bank risk and improve performance, but the … associated with the level of risk and foreign ownership. A focused strategy is found to be associated with increased profit and … recent financial crisis suggests that aggressive diversification strategies may have resulted in increased risk taking and …

examine the impact of geographical diversification on bank's risk and returns, a Least Square Dummy Variable (LSDV) regression …

intermediary leverage as the relevant state variable. A parsimonious model that uses detrended dealer leverage as a price-of-risk …

We leverage supervisory microdata to uncover the role of global banks' risk limits in driving exchange rate dynamics …. Consistent with a model of currency intermediation under risk constraints, shocks to dealers' risk limits lead to price and …