of bank regulatory capital. Our results show that following Basel I, undrawn fees and all-in-drawn credit spreads on …

charges more sensitive to risk. Exploiting the staggered introduction of the model-based approach in Germany and the richness …

charges more sensitive to risk. Exploiting the staggered introduction of the model-based approach in Germany and the richness …

largest purchasers of bank bonds in Europe. We develop a stylized model with a direct financial connection between banking and … CoCo bond into bank shares. In order to check the robustness of our findings, we consider different CoCo designs (write …-down factor, trigger value, holding time of bank shares) and compare the resulting capital requirements with those for holding non …

largest purchasers of bank bonds in Europe. We develop a stylized model with a direct financial connection between banking and … CoCo bond into bank shares. In order to check the robustness of our findings, we consider different CoCo designs (write …-down factor, trigger value, holding time of bank shares) and compare the resulting capital requirements with those for holding …

approach is thus that the more the compensation structure decouples the interests of bank managers from those of shareholders … by curbing risk-taking incentives, the higher the leverage the bank is permitted to take on. Consequently, the risk …

creating a "model bank" with a portfolio mirroring the average asset composition of internationally active large banks, as well …