This paper analyzes the impact of countries' tax attractiveness on the allocation of risk within multinational groups. Our dataset contains subsidiaries located in 32 European countries and owned by parents from 90 different countries globally. We show that tax symmetry positively influences the...

This paper studies the effect of securitization in financial conglomerates on their risk choice, and compares it with the choice of standalone banks. Loan sales in conglomerates avoid information asymmetry, which enables conglomerate banks to shift worse loan risk to the deposit insurance by...

This paper investigates the transfer pricing risk awareness of multinational firms using cross-sectional data of more than 350 firms located in 24 countries and classified in 12 industries. Moving beyond the sole tax optimization motives of multinational firms, we extend the existing literature...