The latest financial crisis has exposed substantial weaknesses in the bank risk models used by national regulators as … well as the Basel Accords. The study is aimed at presenting the evolution and critique of risk measures and risk models in … banking, with a special focus on the dynamically developing area of systemic risk measures. A discussion of the features of …

The paper studies risk mitigation associated with capital regulation, in a context when banks may choose tail risk … liability. When capital raising is costly, poorly capitalized banks may limit risk to avoid breaching the minimal capital ratio …. A bank with higher capital has lesschance of breaching the ratio, so may actually take more risk. As a result, banks …

We apply text analysis to Twitter messages in Spanish to build a sentiment- based risk index for the financial sector … captures the impact of sources of financial stress not explicitly encompassed in quantitative risk measures. Finally, we show … that a shock in our Twitter sentiment index correlates positively with an increase in financial market risk, stock market …

We apply sentiment analysis to Twitter messages in Spanish to build a sentiment risk index for the financial sector in … that this novel index captures the impact of sources of financial stress not explicitly encompassed in quantitative risk … Twitter sentiment index correlates positively with an increase in financial market risk, stock market volatility, sovereign …

Bailouts increase moral hazard and exacerbate risk taking (strategic effect). However, they also decrease the … probability of actual failure, thereby increase firm value, which in turn decreases the individual incentive to take risk (value … in concentrated markets, but firms take less risk in fragmented markets in the presence of bailouts. The overall effect …