This investigation starts with the observation that, over the last decade, profitability rates reported by euro area … profitability gap of around 5 percentage points.1 However, while comparisons are frequently made between EA and US banks in academic …-for-like comparison. This paper seeks to identify and analyse the factors behind the profitability gap in a structured manner. We …

performance, that is, profitability and efficiency. Considering bank size, the results show a diverse impact of regulation on bank … efficiency and profitability of banks. This study aims to examine the impact of the introduction of two major regulatory changes … (Basel II and Basel III) on bank performance, in terms of bank size and bank-specific and macroeconomic variables. A two …

This paper investigates whether there is any consistency between banks’ financial strength ratings (bank rating) and … they assume and thereby have a low probability of experiencing financial distress. Bank ratings, a measure of a bank …’s intrinsic safety and soundness, should therefore be able to capture the bank’s ability to manage financial distress while …

income diversification and market concentration are related to bank stability. Firstly, we document that bank stability is …-traditional activities. Secondly, market concentration is positively associated with bank stability, in line with the concentration … concentration modifies the link between revenue diversification and bank stability. Specifically, it is shown that diversified banks …

This paper investigates whether there is any consistency between banks' financial strength ratings (bank rating) and … they assume and thereby have a low probability of experiencing financial distress. Bank ratings, a measure of a bank …'s intrinsic safety and soundness, should therefore be able to capture the bank's ability to manage financial distress while …

countries. The European Central Bank (ECB), jointly with the Banking Supervision Committee (BSC), has an interest in monitoring …