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India that has both bank groups. Covering a ten-year period from 2003 to 2012 that witnessed a large number of governance … CEO duality is high. We find that a longer CEO tenure has significant positive effects on bank outcomes with these effects …
Persistent link: https://www.econbiz.de/10011852430
This paper develops a model of banking to study the risk-taking consequences of contingent capital (CC). It begins with … (latter) asset typically induces a preference for risk taking (safety), the net preference of CC-holders upon conversion … preferences and equity control rights - may be inclined to either: (1) dilute their own equity stakes through "excessive" risk …
Persistent link: https://www.econbiz.de/10011921926
Life insurers' odds of being placed under regulatory control (for example, conservatorship or receivership) during the financial crisis years of 2008 and 2009 increased with deteriorating fundamentals at a much higher rate than during normal times or during the previous recession. However, no...
Persistent link: https://www.econbiz.de/10011602485
Some have suggested that weaknesses in bank corporate governance played a prominent role in the recent financial crisis …, we are able to simultaneously account for the incentives and constraints that influence the major participants in a bank …'s management and oversight. We find that the stock ownership by bank managers, their wealth diversification, the structure of …
Persistent link: https://www.econbiz.de/10013092608
shareholder and stakeholder banks before the crisis. We examine how institutional diversity mattered in the accumulation of risk …. The method of analysis consists in linking the risk position of the banks in the pre-crisis period and the losses arising …
Persistent link: https://www.econbiz.de/10012972380
. At the transition point there is a jumpin risk taking, as private banks do not internalize the social costs of bank … failure. To discourage private risk taking, the politician leaves more rentsto private banks.We conclude with some suggestive … data complementing existing evidence that financial instability is highest when bank control is capturedby small lobbies. …
Persistent link: https://www.econbiz.de/10011380029
shareholders; (ii) implementing the new related party lending regulation with tightened definitions; (iii) strengthening oversight …
Persistent link: https://www.econbiz.de/10013045259
important institutions. Our findings indicate that bank owners are aware of the risk of losing charter value in an environment …
Persistent link: https://www.econbiz.de/10012920157
between systemic risk and corporate governance. It complements prior research by studying the relationship between the … proportion of capital held by state institutions and systemic risk. It also examines the internal governance mechanisms that … mitigate systemic risk. For this purpose, this research used a dataset consisting of 22 banks from Gulf Cooperation Council …
Persistent link: https://www.econbiz.de/10013273469
and governance risk, and in developing policies. Among other things, these data may inform debates on the degree to which …
Persistent link: https://www.econbiz.de/10011581995