Foreign bank presence and its effect on firm entry and
... and a higher rate of firm exit in informationally opaque industries compared to transparent ones. Moreover, we find that the mode of foreign bank entry is crucial, because the negative impact is driven by virtual disappearance of domestic banks due to their acquisition by foreign investors. Interest ...
... and a higher rate of firm exit in informationally opaque industries compared to transparent ones. Moreover, we find that the mode of foreign bank entry is crucial, because the negative impact is driven by virtual disappearance of domestic banks due to their acquisition by foreign investors. Interest ...
report on the macro-prudential research network (mars)
... the possibility of trading credit risk through securitised products in an otherwise fragmented context. This raises the issue of whether regulatory policies that lie outside the EU’s common legal framework, such as LTVs or debt-to-income limits, should also be made subject to some coordination. More ...
... the possibility of trading credit risk through securitised products in an otherwise fragmented context. This raises the issue of whether regulatory policies that lie outside the EU’s common legal framework, such as LTVs or debt-to-income limits, should also be made subject to some coordination. More ...
P a g e 1
... collectively as associations of savings banks and cooperative banks. That is particularly true when you consider that many small and medium-sized institutions in the euro area belong to institutional protection schemes and are hence closely interlinked - and often they are also in protection schemes ...
... collectively as associations of savings banks and cooperative banks. That is particularly true when you consider that many small and medium-sized institutions in the euro area belong to institutional protection schemes and are hence closely interlinked - and often they are also in protection schemes ...
the failure of northern rock: a multi-dimensional case study
... be learned. In particular, they focus on six key issues: (i) deposit insurance, (ii) the “too-big-to-fail” concept, (iii) the role of the lender-of-last-resort facility, (iv) the need for early intervention and the merits of Structured Early Intervention and Resolution and the Prompt Corrective Acti ...
... be learned. In particular, they focus on six key issues: (i) deposit insurance, (ii) the “too-big-to-fail” concept, (iii) the role of the lender-of-last-resort facility, (iv) the need for early intervention and the merits of Structured Early Intervention and Resolution and the Prompt Corrective Acti ...
special report
... its holdings of maturing U.S. Treasuries (UST) and Government Sponsored Enterprise (GSE, or agency) debt, and principal payments from GSE mortgage-backed securities (MBS) – effectively increasing the supply of those assets in the private market. The end of reinvestments will bring about a headwind t ...
... its holdings of maturing U.S. Treasuries (UST) and Government Sponsored Enterprise (GSE, or agency) debt, and principal payments from GSE mortgage-backed securities (MBS) – effectively increasing the supply of those assets in the private market. The end of reinvestments will bring about a headwind t ...
The Spanish corporate structure through interlocking
... capital markets. In the USA the pass of the second Glass-Steagall Act, which separated the activities of commercial and investment banks, meant that banks had less importance than in the continental model when financing industrial activity. In Anglo-Saxon capitalism, the board of directors has the c ...
... capital markets. In the USA the pass of the second Glass-Steagall Act, which separated the activities of commercial and investment banks, meant that banks had less importance than in the continental model when financing industrial activity. In Anglo-Saxon capitalism, the board of directors has the c ...
A Primer on Bank Capital
... At the other extreme, there is an even more conservative definition of capital than common equity. This is “tangible common equity,” which is common equity minus the value of “intangible assets.” Common equity is the total accounting (“book”) value of assets minus the value of liabilities (everyth ...
... At the other extreme, there is an even more conservative definition of capital than common equity. This is “tangible common equity,” which is common equity minus the value of “intangible assets.” Common equity is the total accounting (“book”) value of assets minus the value of liabilities (everyth ...
how individual capital requirements affect capital
... with a higher capital ratio. In fact, this is the intention behind the 8% ratio of the current Basel Accord, BCBS (1999). In the UK, the regulator sets individual capital requirements in excess of the 8% as minima with the expectation that firms will always exceed even them. The FSA inherited from t ...
... with a higher capital ratio. In fact, this is the intention behind the 8% ratio of the current Basel Accord, BCBS (1999). In the UK, the regulator sets individual capital requirements in excess of the 8% as minima with the expectation that firms will always exceed even them. The FSA inherited from t ...
The Determinants of Bank Capital Structure
... the most regulated sectors in the economy. That is motivated by the need to protect all consumers and government safety net. Post-crisis the focus of international regulation has been on banks’ leverage ratios, liquidity, quantity and quality of their capital due to its importance in sustaining syst ...
... the most regulated sectors in the economy. That is motivated by the need to protect all consumers and government safety net. Post-crisis the focus of international regulation has been on banks’ leverage ratios, liquidity, quantity and quality of their capital due to its importance in sustaining syst ...
Uncertainty and International Banking
... banks provided by Claessens and van Horen (2014). These data are used to generate measures of uncertainty in banking derived from bank-level data and to capture the degree of internationalization of banks. Data on aggregate cross-border lending of banks are taken from the Bank for International Sett ...
... banks provided by Claessens and van Horen (2014). These data are used to generate measures of uncertainty in banking derived from bank-level data and to capture the degree of internationalization of banks. Data on aggregate cross-border lending of banks are taken from the Bank for International Sett ...
Financial Crises and the Composition of Cross-Border Lending
... loans than AE borrowers, this gap appears to have increased during the crisis. Loan syndication is an important source of underwriting revenue for global banks, which compete for market share and a leading spot in Dealogic’s League Tables. In 2012, the top five global underwriters, by market share, ...
... loans than AE borrowers, this gap appears to have increased during the crisis. Loan syndication is an important source of underwriting revenue for global banks, which compete for market share and a leading spot in Dealogic’s League Tables. In 2012, the top five global underwriters, by market share, ...
Are Universal Banks Better Intermediaries? ∗ Daniel Neuhann Farzad Saidi
... option-implied volatilities of the treatment vis-à-vis the control group. The estimated treatment effects are sizable, and their order of magnitude corresponds to within-firm increases of at least 5% across all outcome variables (and up to 14% for sales-growth volatility). We also show that these in ...
... option-implied volatilities of the treatment vis-à-vis the control group. The estimated treatment effects are sizable, and their order of magnitude corresponds to within-firm increases of at least 5% across all outcome variables (and up to 14% for sales-growth volatility). We also show that these in ...
SPECIAL REPORT TD Economics THE FED’S (GRA)DUAL NORMALIZATION: NAVIGATING OUT OF UNCHARTED WATERS
... and agency-debt and principal payments from agency-MBS are reinvested. • The Fed is unlikely to start raising rates until at least mid-2015. When rates do lift-off, the Fed will target a range for the FFR with rate hikes accomplished through the IOER rate with support from the ON RRP facility. The ...
... and agency-debt and principal payments from agency-MBS are reinvested. • The Fed is unlikely to start raising rates until at least mid-2015. When rates do lift-off, the Fed will target a range for the FFR with rate hikes accomplished through the IOER rate with support from the ON RRP facility. The ...
4 - Finance
... unions are used by more than 76 million people, they are quite small when compared with commercial banks or S&Ls. A person who qualifies for membership in a credit union may buy a share by making a minimum deposit—often only $5 to $10. One must be a member—that is, have money on deposit—to borrow fr ...
... unions are used by more than 76 million people, they are quite small when compared with commercial banks or S&Ls. A person who qualifies for membership in a credit union may buy a share by making a minimum deposit—often only $5 to $10. One must be a member—that is, have money on deposit—to borrow fr ...
Collateral versus project screening: a model of lazy banks
... can do for the development and efficiency of the credit market is to grant a steely protection to the creditor right to repossess collateral and eliminate bankruptcy exemptions (or reduce them to a minimum). In this article we argue that this conclusion is unwarranted. This conventional view of cred ...
... can do for the development and efficiency of the credit market is to grant a steely protection to the creditor right to repossess collateral and eliminate bankruptcy exemptions (or reduce them to a minimum). In this article we argue that this conclusion is unwarranted. This conventional view of cred ...
Financial Crises and the Composition of Cross-Border Lending
... decades, alongside the international bond market. Global syndicated loan volume increased 160 percent between 1995 and 2012 to reach 3.5 trillion U.S. dollars, positioning the market as a competitor for the bond market, which originated 6.5 trillion U.S. dollars worth of new issuances in 2012. Syndi ...
... decades, alongside the international bond market. Global syndicated loan volume increased 160 percent between 1995 and 2012 to reach 3.5 trillion U.S. dollars, positioning the market as a competitor for the bond market, which originated 6.5 trillion U.S. dollars worth of new issuances in 2012. Syndi ...
Marginal leverage ratio as a monitoring tool of
... principle, this can be done by a ratio combining any two variable from debt, total assets and equity. However, not all such ratios are equaly valid. Effects like wrong framing and denominator neglect indicate that what we are trying to measure, i.e. debt, should appear in the numerator. Furthermore, ...
... principle, this can be done by a ratio combining any two variable from debt, total assets and equity. However, not all such ratios are equaly valid. Effects like wrong framing and denominator neglect indicate that what we are trying to measure, i.e. debt, should appear in the numerator. Furthermore, ...
Do banks` overnight borrowing rates lead their CDS Price? evidence
... matched maturities in Blanco et al. (2005), we find no compelling evidence of cointegration between the AOR and the CDS. However, the long-run average AOR and CDS are clearly correlated (see Figure 2), and the daily cross-sectional correlation between the AOR and the CDS varies greatly (see Figure ...
... matched maturities in Blanco et al. (2005), we find no compelling evidence of cointegration between the AOR and the CDS. However, the long-run average AOR and CDS are clearly correlated (see Figure 2), and the daily cross-sectional correlation between the AOR and the CDS varies greatly (see Figure ...
current expected credit loss (cecl) accounting
... customer payments be assumed to apply first to pre-existing balances or to any new purchases, finance charges, or other fees? In other words, are balances FIFO (first in, first out) or LIFO (last in, first out)? Assuming payments apply first to the “oldest” balances (FIFO) is consistent with some cr ...
... customer payments be assumed to apply first to pre-existing balances or to any new purchases, finance charges, or other fees? In other words, are balances FIFO (first in, first out) or LIFO (last in, first out)? Assuming payments apply first to the “oldest” balances (FIFO) is consistent with some cr ...
Regulator Use of Market Data to Improve the Identification of Bank
... between market signals and bank financial health is the notion that bank supervision might be improved through the use of information imbedded in stock market prices, returns or other market-related data. This implication was first voiced by Pettway (1980) after finding that stock returns of banks d ...
... between market signals and bank financial health is the notion that bank supervision might be improved through the use of information imbedded in stock market prices, returns or other market-related data. This implication was first voiced by Pettway (1980) after finding that stock returns of banks d ...
monetary reform - a better monetary system for iceland
... Commercial banks create money when they make loans and delete money when loans are repaid. The Central Bank of Iceland must provide banks with reserves (money in accounts at the CBI) as ...
... Commercial banks create money when they make loans and delete money when loans are repaid. The Central Bank of Iceland must provide banks with reserves (money in accounts at the CBI) as ...
The Relationship between Credit Growth and the Expected Returns
... event increases, projects with lower expected cash flows are rejected by the bank, effectively raising the discount rate used by the bank to evaluate projects. This in turn contracts the supply of credit. Simultaneously, the discount rate used by the bank’s customers (the project manager) to evaluat ...
... event increases, projects with lower expected cash flows are rejected by the bank, effectively raising the discount rate used by the bank to evaluate projects. This in turn contracts the supply of credit. Simultaneously, the discount rate used by the bank’s customers (the project manager) to evaluat ...
SIGNIFICANCE OF CREDIT RATIONING IN UKRAINE by Ivan
... supply of loans is differentiated amongst borrowers according to their credit ratings (with supply being interest-inelastic for some, while remaining interestelastic for others) (Hodgman, 1960, p. 275). One of the important implications for the central bank's conduct of monetary policy is that both ...
... supply of loans is differentiated amongst borrowers according to their credit ratings (with supply being interest-inelastic for some, while remaining interestelastic for others) (Hodgman, 1960, p. 275). One of the important implications for the central bank's conduct of monetary policy is that both ...
Net Noninterest Income
... • Stock Values and Profitability Ratios • Measuring Credit, Liquidity, and Other Risks • The UBPR and Comparing Performance McGraw-Hill/Irwin Bank Management and Financial Services, 7/e ...
... • Stock Values and Profitability Ratios • Measuring Credit, Liquidity, and Other Risks • The UBPR and Comparing Performance McGraw-Hill/Irwin Bank Management and Financial Services, 7/e ...
Bank
A bank is a financial intermediary that creates credit by lending money to a borrower, thereby creating a corresponding deposit on the bank's balance sheet. Lending activities can be performed either directly or indirectly through capital markets. Due to their importance in the financial system and influence on national economies, banks are highly regulated in most countries. Most nations have institutionalized a system known as fractional reserve banking under which banks hold liquid assets equal to only a portion of their current liabilities. In addition to other regulations intended to ensure liquidity, banks are generally subject to minimum capital requirements based on an international set of capital standards, known as the Basel Accords.Banking in its modern sense evolved in the 14th century in the rich cities of Renaissance Italy but in many ways was a continuation of ideas and concepts of credit and lending that had their roots in the ancient world. In the history of banking, a number of banking dynasties — notably, the Medicis, the Fuggers, the Welsers, the Berenbergs and the Rothschilds — have played a central role over many centuries. The oldest existing retail bank is Monte dei Paschi di Siena, while the oldest existing merchant bank is Berenberg Bank.