Can banks trade credit default swaps (CDSs) referenced on their current corporate clients at competitive prices, or are … banks penalized for potentially holding private information? To answer this question we merge CDS trades reported under the … that the same dealer offers to banks and to other investors. We find that banks lending to a corporation purchase CDSs on …

Recapitalizing banks in a systemic crisis is a complex medium-term process that requires significant government …

uncertainty averse the investor, even after controlling for different sources of risk. I provide compelling evidence that …