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Bank leverage ratios have made an impressive and largely unopposed return; they are mostly used alongside risk … system and its role in the real economy. The best examples of the causal link between excessive debt, asset bubbles, and … straightforward real estate loans. Bank leverage ratios are primarily seen as a microprudential measure that intends to increase bank …
Persistent link: https://www.econbiz.de/10011389182
The moral hazard incentives of the bank safety net predict that distressed banks take on more risk and higher leverage … include financial crises and are subject to different regulatory regimes (1985–1994, 2005–2014). We find that distressed banks … reduce their leverage and decrease observable measures of riskiness, which is inconsistent with the view that, on average …
Persistent link: https://www.econbiz.de/10012216705
paper discusses on the applicability of banks' perceived trust as a method to evaluate the quality of the EU macroprudential … was conducted with Finnish banks and conglomerates. Although the respondents expressed, overall, slight trust in the …
Persistent link: https://www.econbiz.de/10012180632
In January 2021, the Consumer Financial Protection Bureau will face a decision: to renew its special definition for Qualified Mortgages (QMs) made by Fannie Mae and Freddie Mac, abolish that definition, or adopt some other approach to Qualified Mortgages. Concerns about access to credit have...
Persistent link: https://www.econbiz.de/10012847759
Bank leverage ratios have made an impressive and largely unopposed return; they are mostly used alongside risk … system and its role in the real economy. The best examples of the causal link between excessive debt, asset bubbles, and … straightforward real estate loans. Bank leverage ratios are primarily seen as a microprudential measure that intends to increase bank …
Persistent link: https://www.econbiz.de/10013012968
This paper examines banks' disclosures and loss recognition in the financial crisis and identifies several core issues …, banks' disclosures about relevant risk exposures were relatively sparse. Such disclosures came later after major concerns … about banks' exposures had arisen in markets. Similarly, the recognition of loan losses was relatively slow and delayed …
Persistent link: https://www.econbiz.de/10012241734
financial stability. Our analysis suggests that, going into the financial crisis, banks' disclosures about relevant risk … exposures were relatively sparse. Such disclosures came later after major concerns about banks' exposures had arisen in markets …. Similarly, banks delayed the recognition of loan losses. Banks' incentives seem to drive this evidence, suggesting that …
Persistent link: https://www.econbiz.de/10012011324
Persistent link: https://www.econbiz.de/10012905124
This paper presents an overview of key proposals formulated by the European Systemic Risk Board (ESRB), the European Banking Authority (EBA) and the European Central Bank (ECB) in the context of the review of the macroprudential policy framework of the European Union (EU), aimed at improving its...
Persistent link: https://www.econbiz.de/10014082624
During recent years heightened standards for board audit committee membership has been imposed by the SEC, NYSE and others. Sarbanes-Oxley requires that the Audit Committee will be comprised solely of independent directors, and that the company must disclose whether at least one of the members...
Persistent link: https://www.econbiz.de/10013090335