The Right Balance For Banks

Author : William R. Cline
Publisher : Columbia University Press
Page : 248 pages
File Size : 52,8 Mb
Release : 2017-05-23
Category : Business & Economics
ISBN : 9780881327229

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The Right Balance for Banks by William R. Cline Pdf

The global financial crisis produced an important agreement among regulators in 2010–11 to raise capital requirements for banks to protect them from insolvency in the event of another emergency. In this book, William R. Cline, a leading expert on the global financial system, employs sophisticated economic models to analyze whether these reforms, embodied in the Third Basel Accord, have gone far enough. He calculates how much higher bank capital reduces the risk of banking crises, providing a benefit to the economy. On the cost side, he estimates how much higher capital requirements raise the lending rate facing firms, reducing investment in plant and equipment and thus reducing output in the economy. Applying a plausible range of parameters, Cline arrives at estimates for the optimal level of equity capital relative to total bank assets. This study also challenges the recent "too much finance" literature, which holds that in advanced countries banking sectors are already too large and are curbing growth.

Author : Anonim
Publisher : Lulu.com
Page : 294 pages
File Size : 49,6 Mb
Release : 2004
Category : Bank capital
ISBN : 9789291316694

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International Convergence of Capital Measurement and Capital Standards by Anonim Pdf

Author : Mr.Peter Stella
Publisher : International Monetary Fund
Page : 40 pages
File Size : 54,7 Mb
Release : 1997-07-01
Category : Business & Economics
ISBN : 9781451850505

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Do Central Banks Need Capital? by Mr.Peter Stella Pdf

Central banks may operate perfectly well without capital as conventionally defined. A large negative net worth, however, is likely to compromise central bank independence and interfere with its ability to attain policy objectives. If society values an independent central bank capable of effectively implementing monetary policy, recapitalization may become essential. Proper accounting practice in determining central bank profit or loss and rules governing the transfer of the central bank’s operating result to the treasury are also important. A variety of country-specific central bank practices are reviewed to support the argument.

Author : José Abad,Antonio I Garcia Pascual
Publisher : International Monetary Fund
Page : 61 pages
File Size : 53,8 Mb
Release : 2022-01-28
Category : Business & Economics
ISBN : 9781616358938

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Usability of Bank Capital Buffers: The Role of Market Expectations by José Abad,Antonio I Garcia Pascual Pdf

Following the COVID shock, supervisors encouraged banks to use capital buffers to support the recovery. However, banks have been reluctant to do so. Provided the market expects a bank to rebuild its buffers, any draw-down will open up a capital shortfall that will weigh on its share price. Therefore, a bank will only decide to use its buffers if the value creation from a larger loan book offsets the costs associated with a capital shortfall. Using market expectations, we calibrate a framework for assessing the usability of buffers. Our results suggest that the cases in which the use of buffers make economic sense are rare in practice.

Author : Charles W. Calomiris,Stephen H. Haber
Publisher : Princeton University Press
Page : 584 pages
File Size : 43,9 Mb
Release : 2015-08-04
Category : Business & Economics
ISBN : 9780691168357

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Fragile by Design by Charles W. Calomiris,Stephen H. Haber Pdf

Why stable banking systems are so rare Why are banking systems unstable in so many countries—but not in others? The United States has had twelve systemic banking crises since 1840, while Canada has had none. The banking systems of Mexico and Brazil have not only been crisis prone but have provided miniscule amounts of credit to business enterprises and households. Analyzing the political and banking history of the United Kingdom, the United States, Canada, Mexico, and Brazil through several centuries, Fragile by Design demonstrates that chronic banking crises and scarce credit are not accidents. Calomiris and Haber combine political history and economics to examine how coalitions of politicians, bankers, and other interest groups form, why they endure, and how they generate policies that determine who gets to be a banker, who has access to credit, and who pays for bank bailouts and rescues. Fragile by Design is a revealing exploration of the ways that politics inevitably intrudes into bank regulation.

Author : José Garrido,Emanuel Kopp,Anke Weber
Publisher : International Monetary Fund
Page : 33 pages
File Size : 55,5 Mb
Release : 2016-09-08
Category : Business & Economics
ISBN : 9781475535167

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Cleaning-up Bank Balance Sheets by José Garrido,Emanuel Kopp,Anke Weber Pdf

To stabilize and bring down nonperforming loans (NPLs) in the Italian banking system, the Italian authorities have been implementing a number of reforms, aimed among others at speeding up insolvency and enforcement proceedings, strengthening bank corporate governance, cleaning up balance sheets, and facilitating bank consolidation. This paper examines the Italian banking system’s NPL problem, which ties up capital, weighing on bank profitability and authorities’ economic reforms. It argues for a comprehensive approach, encompassing economic, supervisory, and legal measures. The authorities’ reforms are important steps toward this end. The paper describes measures that could further support their actions.

Author : Peter Nash
Publisher : John Wiley & Sons
Page : 376 pages
File Size : 41,8 Mb
Release : 2017-09-22
Category : Business & Economics
ISBN : 9781118939796

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Effective Product Control by Peter Nash Pdf

Improve the Effectiveness of your Product Control Function Effective Product Control is a detailed how-to guide covering everything you need to know about the function. Considered essential reading for: New controllers entering the profession Auditors and regulators reviewing product control Established controllers wanting a refresher on the latest skills and core controls within the industry. Encompassing both a technical skills primer and key insights into core controls used to mit­igate major risks emanating from trading desks, you will get expert advice on practical topics such as: The key IFRS and U.S. GAAP accounting standards for a trading desk How to approach the pricing of a financial instrument Market risk and how is it quantified The controls necessary for a trading desk Rogue trading and how it can be detected Valuation adjustments and why they are necessary How the prices used to value a trading portfolio are independently verified The financial accounting entries used to record financial instruments in the balance sheet and profit & loss statement Financial reporting and how the results of a trading desk are presented How a new financial product can be introduced in a controlled manner Complete with a wealth of insightful graphs, illustrations and real-world examples to enliven the covered material, the dependable answers you need are in Effective Product Control.

Author : Jihad Dagher,Mr.Giovanni Dell'Ariccia,Mr.Luc Laeven,Mr.Lev Ratnovski,Mr.Hui Tong
Publisher : International Monetary Fund
Page : 38 pages
File Size : 48,8 Mb
Release : 2016-03-03
Category : Business & Economics
ISBN : 9781498387712

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Benefits and Costs of Bank Capital by Jihad Dagher,Mr.Giovanni Dell'Ariccia,Mr.Luc Laeven,Mr.Lev Ratnovski,Mr.Hui Tong Pdf

The appropriate level of bank capital and, more generally, a bank’s capacity to absorb losses, has been at the core of the post-crisis policy debate. This paper contributes to the debate by focusing on how much capital would have been needed to avoid imposing losses on bank creditors or resorting to public recapitalizations of banks in past banking crises. The paper also looks at the welfare costs of tighter capital regulation by reviewing the evidence on its potential impact on bank credit and lending rates. Its findings broadly support the range of loss absorbency suggested by the Financial Stability Board (FSB) and the Basel Committee for systemically important banks.

Author : Moritz Schularick
Publisher : University of Chicago Press
Page : 318 pages
File Size : 47,9 Mb
Release : 2022-12-14
Category : Business & Economics
ISBN : 9780226816937

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Leveraged by Moritz Schularick Pdf

Introduction : the new economics of debt and financial fragility /Moritz Schularik --Part 1. Finance unbound : the rise of finance and the economy.How to think about finance /Atif Mian ; comment by Karen Dynan --Reconsidering the costs and benefits of debt booms for the economy /Emil Verner ; comment by Holger Mueller --Part 2. Risk-taking : incentives, investors, institutions.Are bank CEO's to blame? /Rüdiger Fahlenbrach ; comment by Sameul G. Hanson --A new narrative of investors, subprime lending, and the 2008 crisis /Stefania Albanesi ; comment by Fernando Ferreira --Bank capital before and after financial crises /Òscar Jordà, Björn Richter, Moritz Schularick, and Alan M. Taylor ; comment by Anna Kovner --Part 3. Mispricing risks : credit booms and risk premia.Beliefs and risk-taking /Alessia de Stefani and Kaspar Zimmermann ; comment by Yueran Ma --A new approach to measuring banks' risk exposure /Juliane Begenau ; comment by Nina Boyarchenko --Is risk mispriced in credit booms? /Tyler Muir --Part 4. Financial crises : reconsidering the origins and consequences.Historical banking crises : a new database and a reassessment of their incidence and severity /Matthew Baron and Daniel Dieckelmann ; comment by Mark Carlson --Was the U.S. Great Depression a credit boom gone wrong? /Natascha Postel-Vinah ; comment by Eugene N. White --Sectoral credit booms and financial stability /Kärsten Muller ; comment by Orsola Costantini.

Author : Benjamin H. Cohen,Michela Scatigna
Publisher : Unknown
Page : 27 pages
File Size : 54,5 Mb
Release : 2014
Category : Bank capital
ISBN : 9291311448

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Banks and Capital Requirements by Benjamin H. Cohen,Michela Scatigna Pdf

Author : Hennie van Greuning,Sonja Brajovic Bratanovic
Publisher : World Bank Publications
Page : 399 pages
File Size : 55,6 Mb
Release : 2020-06-10
Category : Business & Economics
ISBN : 9781464815188

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Analyzing Banking Risk (Fourth Edition) by Hennie van Greuning,Sonja Brajovic Bratanovic Pdf

Analyzing Banking Risk: A Framework for Assessing Corporate Governance and Risk Management provides a comprehensive overview of topics focusing on assessment, analysis, and management of financial risks in banking. The publication emphasizes risk management principles and stresses that key players in the corporate governance process are accountable for managing the different dimensions of financial and other risks. This fourth edition remains faithful to the objectives of the original publication. It covers new business aspects affecting banking risks, such as mobile banking and regulatory changes over the past decade—specifically those related to Basel III capital adequacy concepts—as well as new operational risk management topics such as cybercrime, money laundering, and outsourcing. This publication will be of interest to a wide body of users of bank financial data. The target audience includes the persons responsible for the analysis of banks and for the senior management or organizations directing their efforts. Because the publication provides an overview of the spectrum of corporate governance and risk management, it is not aimed at technical specialists of any particular risk management area. *** Hennie van Greuning was formerly a Senior Adviser in the World Bank’s Treasury Unit and previously worked as a sector manager for financial sector operations in the World Bank. He has been a partner in a major international accounting firm and a controller and head of bank supervision in a central bank. Since retiring from the World Bank, he has chaired audit, ethics, and risk committees in various banks and has been a member of operational risk and asset-liability management committees. Sonja Brajovic Bratanovic was a Lead Financial Sector Specialist at the World Bank, after a career as a senior official in a central bank. With extensive experience in banking sector reforms and financial risk analysis, she led World Bank programs for financial sector reforms, as well as development projects. Since her retirement, she has continued as a senior consultant for World Bank development projects in the financial sector, as well as an advisor for other development institutions.

Author : Mr.Mark R. Stone,Kotaro Ishi,Mr.Kenji Fujita
Publisher : International Monetary Fund
Page : 72 pages
File Size : 48,8 Mb
Release : 2011-06-01
Category : Business & Economics
ISBN : 9781455268467

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Should Unconventional Balance Sheet Policies Be Added to the Central Bank toolkit? a Review of the Experience so Far by Mr.Mark R. Stone,Kotaro Ishi,Mr.Kenji Fujita Pdf

What is the case for adding the unconventional balance sheet policies used by major central banks since 2007 to the standard policy toolkit? The record so far suggests that the new liquidity providing policies in support of financial stability generally warrant inclusion. As the balance sheet policies aimed at macroeconomic stability were used only by a small number of highly credible central banks facing a lower bound constraint on conventional interest rate policy, they are not relevant for most central banks or states of the world. Best practices of these policies are documented in this paper.

Author : International Monetary Fund
Publisher : International Monetary Fund
Page : 159 pages
File Size : 51,5 Mb
Release : 1996-04-15
Category : Business & Economics
ISBN : 9781557755704

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Balance of Payments Textbook by International Monetary Fund Pdf

The Balance of Payments Textbook, like the Balance of Payments Compilation Guide, is a companion document to the fifth edition of the Balance of Payments Manual. The Textbook provides illustrative examples and applications of concepts, definitions, classifications, and conventions contained in the Manual and affords compilers with opportunities for enhancing their understanding of the relevant parts of the Manual. The Textbook is one of the main reference materials for training courses in balance of payments methodology.

Author : Board of Governors of the Federal Reserve System
Publisher : Unknown
Page : 0 pages
File Size : 45,8 Mb
Release : 2002
Category : Banks and Banking
ISBN : 0894991965

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The Federal Reserve System Purposes and Functions by Board of Governors of the Federal Reserve System Pdf

Provides an in-depth overview of the Federal Reserve System, including information about monetary policy and the economy, the Federal Reserve in the international sphere, supervision and regulation, consumer and community affairs and services offered by Reserve Banks. Contains several appendixes, including a brief explanation of Federal Reserve regulations, a glossary of terms, and a list of additional publications.

Author : Simon Johnson,James Kwak
Publisher : Vintage
Page : 338 pages
File Size : 49,5 Mb
Release : 2011-01-11
Category : Business & Economics
ISBN : 9780307476609

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13 Bankers by Simon Johnson,James Kwak Pdf

In spite of its key role in creating the ruinous financial crisis of 2008, the American banking industry has grown bigger, more profitable, and more resistant to regulation than ever. Anchored by six megabanks whose assets amount to more than 60 percent of the country’s gross domestic product, this oligarchy proved it could first hold the global economy hostage and then use its political muscle to fight off meaningful reform. 13 Bankers brilliantly charts the rise to power of the financial sector and forcefully argues that we must break up the big banks if we want to avoid future financial catastrophes. Updated, with additional analysis of the government’s recent attempt to reform the banking industry, this is a timely and expert account of our troubled political economy.