In contrast to greater restrictions on thrifts' nontraditional assets under FIRREA, Congress is considering new legislation forcing thrifts to convert to banks. Hence, the efficiency implications of product diversification for thrifts is an important issue. We examine the relation between...

It has long been accepted that managerial stock ownership, beyond some range of possible entrenchment, can be an effective means of aligning the interests of professional managers with those of a firm s outside owners to the benefit of firm performance. In this paper, we offerevidence on the...

This paper investigates the relationships among manager ownership, charter value, and thrift risk-taking for 1986 to 1995, a decade of significant regulatory change. We hypothesize that during periods of regulatory laxity and low charter values, manager-owned thrifts are likely to engage in...

This study examines the relation between equity ownership composition and insolvency risk for savings and loans (S&Ls). We hypothesize that the effect of manager/stockholder alignments on bank risk-taking is contingent on the trade-off between stockholders' incentives for risk provided by...

While prior research finds evidence of significant performance persistence in banking, the issue of the determinants of such persistence has rarely been examined. In light of a liberalized thrift takeover market, this study tests for persistence and then attempts to identify its determinants for...