Please use this identifier to cite or link to this item:
http://bura.brunel.ac.uk/handle/2438/17554
Title: | Disentangling the impact of securitization on bank profitability |
Authors: | Bakoush, M Abouarab, R Wolfe, S |
Keywords: | Securitization;Bank profitability;Bank risk;Regulatory capital;Liquidity;Cost of funding |
Issue Date: | 30-Sep-2018 |
Publisher: | Elsevier |
Citation: | Research in International Business and Finance, 2019, 47 pp. 519 - 537 |
Abstract: | Weempiricallyevaluatethechannelsthroughwhichsecuritizationimpactsbankprofitability.To this end, we analyze the role played by bank risk,costoffunding,liquidityandregulatorycapital in explaining the relationship between securitization and bank profitability. We find that securitization activities tend to boost profitability. We also show that bank risk, cost of funding, liquidity and regulatory capital individually and jointly act as transmission channels in the securitization-profitability relationship. In addition, we break down the securitization effects on bankprofitabilityintodirectandindirecteffectsandidentifythecontributionofeachindividual transmissionchannelintheoverallimpactonbankprofitability.Ourfindingshaveseveralimplicationsforbanks,financialmarkets,and regulator |
URI: | http://bura.brunel.ac.uk/handle/2438/17554 |
DOI: | http://dx.doi.org/10.1016/j.ribaf.2018.09.013 |
ISSN: | 0275-5319 http://dx.doi.org/10.1016/j.ribaf.2018.09.013 |
Appears in Collections: | Dept of Economics and Finance Embargoed Research Papers |
Files in This Item:
File | Description | Size | Format | |
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FullText.pdf | Embargoed until 2021-09-30 | 1.14 MB | Adobe PDF | View/Open |
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