Leading indicators of distress in Danish banks in the period 2008-12
... encompassing what must be considered as banking activity subject to enhanced risk, such as high lending growth, less stable funding conditions, etc. (the supervisory diamond is defined precisely in Section 5.1). These benchmarks are based on characteristics of the banks that became distressed during ...
... encompassing what must be considered as banking activity subject to enhanced risk, such as high lending growth, less stable funding conditions, etc. (the supervisory diamond is defined precisely in Section 5.1). These benchmarks are based on characteristics of the banks that became distressed during ...
Economic Activity and the Short-Term Credit Markets: An
... markets and real economic activity on any description centered narrowly on substitutionbetween bankloans andcommercialpaper.It also suggests directionsfor extendingthis line of research. The sixth section presents the results of efforts to estimate empirically some relationshipsthat correspond more ...
... markets and real economic activity on any description centered narrowly on substitutionbetween bankloans andcommercialpaper.It also suggests directionsfor extendingthis line of research. The sixth section presents the results of efforts to estimate empirically some relationshipsthat correspond more ...
Bank structural reform study: Supplementary report 1
... estimate the level of government support. While credit rating based approaches provide useful evidence on credit risk exposure and the level of implied government support for individual financial institutions, they are fundamentally shaped by the judgement of credit ratings agencies. As such, there ...
... estimate the level of government support. While credit rating based approaches provide useful evidence on credit risk exposure and the level of implied government support for individual financial institutions, they are fundamentally shaped by the judgement of credit ratings agencies. As such, there ...
The Flight from Maturity*
... “The Lehman episode was not just a disaster for Lehman. It was a disaster for our country. And like any calamity, it should be subjected to careful, independent scrutiny.” Timothy Geithner, written testimony before the House Financial Services Committee, April 20, 2010. 1. Introduction How could a f ...
... “The Lehman episode was not just a disaster for Lehman. It was a disaster for our country. And like any calamity, it should be subjected to careful, independent scrutiny.” Timothy Geithner, written testimony before the House Financial Services Committee, April 20, 2010. 1. Introduction How could a f ...
Resolving China`s Corporate Debt Problem
... the sustainability of credit expansion. In China, credit financed a large construction boom, resulting in overstocking in the real estate and overcapacity in related upstream industries. At the macro level, investment and credit efficiency has fallen. At the micro level, corporate data show that the ...
... the sustainability of credit expansion. In China, credit financed a large construction boom, resulting in overstocking in the real estate and overcapacity in related upstream industries. At the macro level, investment and credit efficiency has fallen. At the micro level, corporate data show that the ...
pension funds as new financial intermediaries
... Pension funds are typically sponsored by employers, such as companies, public corporations, industry or trade groups; accordingly, employers as well as employees typically contribute. Funds may be internally or externally managed2. Returns to members of pension plans backed by such funds may be pure ...
... Pension funds are typically sponsored by employers, such as companies, public corporations, industry or trade groups; accordingly, employers as well as employees typically contribute. Funds may be internally or externally managed2. Returns to members of pension plans backed by such funds may be pure ...
V. The Culture of Risk and Regulation
... personal computer industry, software entrepreneurs, and biotechnologies. Merger activity and leveraged buy-out reached record levels. In addition to derivatives, new financial products were being created, for example high-yield bonds, also known as “junk bonds”, which became widely popular with inve ...
... personal computer industry, software entrepreneurs, and biotechnologies. Merger activity and leveraged buy-out reached record levels. In addition to derivatives, new financial products were being created, for example high-yield bonds, also known as “junk bonds”, which became widely popular with inve ...
The role of the central bank balance sheet in monetary policy
... elastic supply of central bank liquidity to its counterparties in response to heightened demand induced by financial stress is considered in this article to be a passive deployment of the central bank balance sheet. This categorisation seems apt, since, in such cases, the consequences for the balan ...
... elastic supply of central bank liquidity to its counterparties in response to heightened demand induced by financial stress is considered in this article to be a passive deployment of the central bank balance sheet. This categorisation seems apt, since, in such cases, the consequences for the balan ...
From big to great: The world`s leading institutional investors forge
... with the exception of a long-term trend among many institutions to shift an increasing portion of their portfolios to illiquid assets. Indeed, for most pension and SWF boards, the review of assetallocation decisions has been more or less a rubber-stamping exercise. Instead of working on the SAA, man ...
... with the exception of a long-term trend among many institutions to shift an increasing portion of their portfolios to illiquid assets. Indeed, for most pension and SWF boards, the review of assetallocation decisions has been more or less a rubber-stamping exercise. Instead of working on the SAA, man ...
The Lender of Last Resort in the Eurozone
... Regarding liquidity supply, a central bank typically has two options whenever it provides the finance sector with the necessary liquidity. One option is to provide liquidity for the entire system, via its monetary-policy operations (macro-level liquidity supply). The other option is for the central ...
... Regarding liquidity supply, a central bank typically has two options whenever it provides the finance sector with the necessary liquidity. One option is to provide liquidity for the entire system, via its monetary-policy operations (macro-level liquidity supply). The other option is for the central ...
Supporting UK business - Better Business Finance
... Customer feedback suggests that many smaller businesses are unaware of what type of finance options might be available to them; which option best meets their needs; and how to go about getting access to that finance. The banks can do more (through, for example, customer support, advice and signposti ...
... Customer feedback suggests that many smaller businesses are unaware of what type of finance options might be available to them; which option best meets their needs; and how to go about getting access to that finance. The banks can do more (through, for example, customer support, advice and signposti ...
Cumulative impact of financial regulation in Sweden
... risk buffer, capital conservation buffer, countercyclical capital buffer and pillar II requirements. We suggest that such proposals may lead to substantial costs for the Swedish economy. Key facts supporting this conclusion are as follows: Overall funding costs will rise if Swedish banks are forced ...
... risk buffer, capital conservation buffer, countercyclical capital buffer and pillar II requirements. We suggest that such proposals may lead to substantial costs for the Swedish economy. Key facts supporting this conclusion are as follows: Overall funding costs will rise if Swedish banks are forced ...
December 2016
... percent every year: ‘The oil sector has been particularly vital to the U.A.E. economy over the past three years, as non-oil GDP struggled to recover from the 2009 global recession and debt crisis. But with volatility in global oil prices and Abu Dhabi’s oil production set to slow, the government is ...
... percent every year: ‘The oil sector has been particularly vital to the U.A.E. economy over the past three years, as non-oil GDP struggled to recover from the 2009 global recession and debt crisis. But with volatility in global oil prices and Abu Dhabi’s oil production set to slow, the government is ...
Crisis Alpha and Risk in Alternative Investment
... actually negative. The risk premium represents the performance gained by taking on price risk, credit risk, and liquidity risk outside of crisis periods. A decomposition of crisis alpha can help to explain when risks related to credit and liquidity issues, which often come to the forefront during a ...
... actually negative. The risk premium represents the performance gained by taking on price risk, credit risk, and liquidity risk outside of crisis periods. A decomposition of crisis alpha can help to explain when risks related to credit and liquidity issues, which often come to the forefront during a ...
Tilburg University The impact of Taxation on Bank
... results are not robust. Overall, our results suggest that the elimination of the debt bias may not bring the expected benefits, since banks may substitute leverage risk for asset risk. This paper bridges and extends two strands of literature. The first of these aims at quantifying the effect of CIT ...
... results are not robust. Overall, our results suggest that the elimination of the debt bias may not bring the expected benefits, since banks may substitute leverage risk for asset risk. This paper bridges and extends two strands of literature. The first of these aims at quantifying the effect of CIT ...
handelsbankens småskriftserie_eng_29_jm_16.indd
... The international financial crisis of recent years has put the risk in banks’ funding in the spotlight. In particular during 2007 and 2008 – the first years of the crisis – it became clear that the short maturity for many banks’ funding made them unable to continue without government support when in ...
... The international financial crisis of recent years has put the risk in banks’ funding in the spotlight. In particular during 2007 and 2008 – the first years of the crisis – it became clear that the short maturity for many banks’ funding made them unable to continue without government support when in ...
enhanced disclosure for hedge funds
... Table 2 sets out information relevant to the underlying externally managed wholesale hedge funds. We have relied on information provided by the responsible entity of the relevant underlying externally managed wholesale hedge fund to prepare this table. Each responsible entity has consented to the re ...
... Table 2 sets out information relevant to the underlying externally managed wholesale hedge funds. We have relied on information provided by the responsible entity of the relevant underlying externally managed wholesale hedge fund to prepare this table. Each responsible entity has consented to the re ...
Information Asymmetry, Relationship Banking and Financing Costs
... Generally, Germany represents a bank-based financial system (Allen and Gale, 1995) characterized by strong ties between banks and firms. In addition, one very specific characteristic of the German banking system is the existence of house banks. A house bank acts as the main lender of a firm and acqu ...
... Generally, Germany represents a bank-based financial system (Allen and Gale, 1995) characterized by strong ties between banks and firms. In addition, one very specific characteristic of the German banking system is the existence of house banks. A house bank acts as the main lender of a firm and acqu ...
Advancing the Credit Channel and Credit Rationing in the
... lender believes there is no chance that it will be repaid, and L = 1.00 means the payoff is believed to be certain), and, the interest rate on the loan (r).7 It is important to be clear that the r specified by the model is nothing more than the rate that would be charged on the single loan being con ...
... lender believes there is no chance that it will be repaid, and L = 1.00 means the payoff is believed to be certain), and, the interest rate on the loan (r).7 It is important to be clear that the r specified by the model is nothing more than the rate that would be charged on the single loan being con ...
Too Big To Fail Or To Save? Evidence from the
... TBTS are expected to play a large role. CDS spreads were very low even for non-systemic banks. This is likely to change with the onset of the crisis when the TSTF problem is expected to become much more pronounced. In contrast, the TBTS problem is likely to be affected by the huge bail-outs taking p ...
... TBTS are expected to play a large role. CDS spreads were very low even for non-systemic banks. This is likely to change with the onset of the crisis when the TSTF problem is expected to become much more pronounced. In contrast, the TBTS problem is likely to be affected by the huge bail-outs taking p ...
The Impact of Banking Sector Stability on the Real Economy | PDF
... The increased incidence of banking and financial crises over the last quarter century has triggered an active research agenda, not only on the underlying causes of crises, but also on their impact on the real economy. Literature in this field has been mainly focussed in two directions: first, on und ...
... The increased incidence of banking and financial crises over the last quarter century has triggered an active research agenda, not only on the underlying causes of crises, but also on their impact on the real economy. Literature in this field has been mainly focussed in two directions: first, on und ...
SIFM A Proposed C onform ance R ule C om m
... restrictions, such as those in a fund’s organizational documents or other agreements relating to an investment (for example, an agreement among shareholders (including the fund) of a portfolio company or an underwriting agreement with the underwriters of a public offering) are very common and can im ...
... restrictions, such as those in a fund’s organizational documents or other agreements relating to an investment (for example, an agreement among shareholders (including the fund) of a portfolio company or an underwriting agreement with the underwriters of a public offering) are very common and can im ...