Reputation is growing as a very important asset in everyday corporate life and it is even crucial for financial corporations. The main financial institutions consider reputation as one of the six risk factors to be managed by any corporation in financial sector: credit, market, operational,...

This paper attempts to define reputational risk and to outline the sources of such risk facing large international banks. It then considers the key drivers of reputational risk in the presence of transactions costs and imperfect information, and surveys available empirical research on the impact...