This book examines the role of financial institutions in the financial markets during normal times, as well as during the global financial crisis. Chapter 1 offers a brief introduction to the research topics in the book, while Chapter 2 discusses the impact of financial derivatives on risk exposures of BHCs. Chapter 3 then investigates whether and how different types of bank capital affect bank lending and whether this relation changes in times of the global financial crisis. Chapter 4 adds to the scant information on competitive landscape in the clearing and settlement industry. Lastly, Chapter 5 provides a summary and discussion of the findings and presented.
1. Offers the first analysis of the different holding purposes of financial derivatives and their impact on the BHCs’ systematic risk exposures (in the case of interest rate derivatives, exchange rate derivatives, and credit derivatives)2. Distinguishes between tier 1 and tier 2 capital as bank funding sources3. The first comprehensive study on the competition in the clearing and settlement industry using the PR model, Lerner index, and Boone indicator.
Offers the first analysis of the different holding purposes of financial derivatives and their impact on the BHCs’ systematic risk exposures (in the case of interest rate derivatives, exchange rate derivatives, and credit derivatives) Distinguishes between tier 1 and tier 2 capital as bank funding sources The first comprehensive study on the competition in the clearing and settlement industry using the PR model, Lerner index, and Boone indicator
Shaofang Li
Financial Derivatives Systematic Risk Tier 1 Capital Bank Capital Bank Lending Clearing and Settlement Services Competitive Condition Panzar-Rosse Model Global Financial Crisis banking financial crises