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We use the SEC Tick Size Pilot Program to show that stock liquidity reduces the cost of bank loans. Treated firms …. Finally, we show that firms respond to lower borrowing costs by using more bank credit …
Persistent link: https://www.econbiz.de/10012852594
This study aims to find out what determinants have the most influence in improving bank operational performance …, which describes the input and outputof the bank’s production activities as an intermediary institution. Profit efficiency … contributes more influence than issuing debt securities.The issuance of bonds is a proxy for bank policy in issuing debt …
Persistent link: https://www.econbiz.de/10013220233
Purpose - This study contributes to existing literature by investigating bank capital structure dynamics during the … Covid-19 pandemic. The role of contemporary bank-specific determinants of capital structure during this period is analyzed …. Design/methodology/approach - An independent t-test is carried out to check the response of bank leverage to the crisis …
Persistent link: https://www.econbiz.de/10013352754
previously developed relationship with a lead bank obtained a lower spread and a longer maturity during the financial crisis but …
Persistent link: https://www.econbiz.de/10010960595
geographical regions measured by the Herfindahl Index. To explore this issue, we use a unique data set of the individual bank loan …
Persistent link: https://www.econbiz.de/10010295912
Ongoing financial innovation and greater information availability increase the tradability of bank assets and reduce … banks' dependence on individual bank managers as private information in the lending process declines. In this paper we argue … bank managers and shareholders becomes less severe. Consequently, banks' capital structure needs to be less concerned with …
Persistent link: https://www.econbiz.de/10010295931
This paper deals with the relation between excessive risk taking and capital structure in banks. Examining a quarterly dataset of U.S. banks between 1993 and 2010, we find that equity is valued higher when more risky portfolios are chosen when leverage is high, and that more risk taking has a...
Persistent link: https://www.econbiz.de/10010326471
countries. The European Central Bank (ECB), jointly with the Banking Supervision Committee (BSC), has an interest in monitoring …
Persistent link: https://www.econbiz.de/10011606251
This study presents two tests of the hypothesis that adoption of an internal ratings-based approach to determining minimum capital requirements, proposed as part of the Basel II capital accord, would cause adopting banking organizations to increase their acquisition activity. The study employs...
Persistent link: https://www.econbiz.de/10011689918
particular, I find that a bank affiliated with a multi-bank holding company is significantly safer than either a stand-alone bank … or a bank affiliated with a one-bank holding company. Not only does affiliation reduce the probability of future … other banks. Moreover, the effects of affiliation are strengthened for an expanding bank holding company. However, the …
Persistent link: https://www.econbiz.de/10010283388