The European proposals to reform the banking sector, separating investment and commercial banking activities, are likely to negatively affect banks' profitability, as well as their capacity to support the economy. A reform certainly seems unavoidable but, with regard to Italian banks, it must...

We propose a new model for the aggregation of risks that is very flexible and useful in high dimensional problems. We propose a copula-based model that is both hierarchical and hybrid (HYC for short), because: (i) the dependence structure is modeled as a hierarchical copula, (ii) it unifies the...