Regulatory Distortions in a Competitive Financial Services Industry

This paper focusses on the interaction between regulation and competition in a simple industrial organization model. We analyze how regulation affects the profitability of financial institutions. We find that information asymmetries impose a heavy regulatory burden on the higher-quality banks, highlighting the importance of fine-tuning regulation. Our other main results point at the importance of a level playing field.     

Trade in Financial Services and Capital Movements

International financial liberalization may alter saving–investment imbalances and patterns of capital flows across countries. Using a panel of OECD countries for 1990–1996, I examine how the liberalization of capital movements and financial services trade affects net private capital flows. Capital inflows tend to fall (rise) with the liberalization of commercial presence in banking and securities (insurance) services, possibly reflecting an increase (decrease) in saving. I find that capital account liberalization stimulates capital inflows, suggesting that better access to external financing helps sustain larger current account deficits. When cross-border trade is liberalized, capital inflows change insignificantly.     

The Impact of Capital Requirements and Managerial Compensation on Bank Charter Value

This paper examines the joint impact of capital requirements and managerial incentive compensation on bank charter value and bank risk. Most of the previous literature in the area of banking and agency theory has focused on asymmetric information between either banks and regulators, (and therefore on the role of bank capital), or between bank shareholders and bank managers, (and therefore on the role of managerial ownership). In this paper we unify these issues and present empirical results from the regression of capital requirements jointly with measures of incentive compensation on Tobin's Q, our proxy for bank charter value, and on the standard deviation of total return, our proxy for bank risk. In a sample of 102 bank holding companies we find that capital levels are consistently a significant positive factor in determining bank charter value and a significant negative factor in determining risk. On the other hand, we find our six measures of incentive compensation to be generally insignificant relative to charter value but do provide some evidence consistent with a theory relating types of incentive compensation with risk.     

Potential Competitive Effects of Basel II on Banks in SME Credit Markets in the United States

We examine the likely competitive effects of implementation of Basel II capital requirements on banks in the market for credit to SMEs in the U.S. Similar competitive effects from Basel II may occur for other credits and financial instruments in the U.S. and other nations. We address whether reduced risk weights for SME credits extended by large banking organizations that adopt the Advanced Internal Ratings-Based (A-IRB) approach of Basel II might significantly adversely affect the competitive positions of other organizations. The analyses suggest only relatively minor competitive effects on most community banks because the large A-IRB adopters tend to make very different types of SME loans to different types of borrowers than community banks. However, there may be significant adverse effects on the competitive positions of large non-A-IRB banking organizations because the data do not suggest any strong segmentation in SME credit markets among large organizations. JEL classification: G21, G28, G38, L51     

Effects of the New Basel Capital Accord on Bank Capital Requirements for SMEs

Using data from three countries (US, Italy and Australia) and surveying related studies from several other countries in Europe, we investigate the effects of the New Basel Capital Accord on bank capital requirements for small and medium sized enterprises (SMEs). We find that, for all the countries, banks will have significant benefits, in terms of lower capital requirements, when considering small and medium sized firms as retail customers. But they will be obliged to use the Advanced IRB approach and to manage them on a pooled basis. For SMEs as corporate, however, capital requirements will be slightly greater than under the existing Basel I Capital Accord. We believe that most eligible banks will use a blended approach (considering some SMEs as retail and some as corporate). Through a breakeven analysis, we find that for all of our countries, banking organizations will be obliged to classify as retail at least 20% of their SME portfolio in order to maintain the current capital requirement (8%). JEL classification: G21, G28     

金融品牌、差异化营销与银行核心竞争力--对深圳银行业品牌竞争的实证分析及其策略思考

导入品牌战略管理、创新品牌营销手段、树立品牌核心价值和创建品牌企业文化,是国内银行业在入世后进行市场竞争的重要特征.作者回顾了深圳银行业品牌竞争从法人品牌竞争到产品品牌竞争再到客户品牌竞争阶段的发展进程;同时,分析了深圳银行业中国有商业银行、中小股份制商业银行和外资银行三大竞争群体所实施的差异化竞争策略;进而从操作层面提出了将品牌策略纳入银行整体战略、建立专业的品牌管理部门、明确并全力维护品牌的核心价值、推行产品全面质量管理、建立协调的品牌体系和全面整合品牌的沟通和营销等六大品牌竞争策略.     

银行业国际化进程及其对发展中国家金融市场的影响

在世界经济全球化和金融自由化背景下,银行业国际化进程不断加快,对世界经济产生了深远的影响,以此为线索,本文重点分析了现代银行业国际化的形成、特点及其对发展中国家金融市场的影响,认为全球真正意义上的银行业国际化开始于20世纪50年代末,欧洲和美国的经济背景、欧洲美元市场的兴起、金融创新和金融自由化等因素推动其发展.随着银行业国际化规模不断扩大、国际化步伐不断加快、绩效日趋改善,其对发展中国家银行业效率系统的稳定、货币市场、外汇市场和资本市场等方面的影响加大.     

外资银行进入对我国银行业市场竞争度的影响：基于Panzar-Rosse模型的实证研究

本文采用Panzar-Rosse模型度量了1996年至2006年间我国银行业的市场竞争度,并对外资银行进入程度与市场竞争度的关系进行了经验分析,结果表明,近十年间我国银行业呈现垄断竞争格局,且竞争压力呈上升趋势,这主要归因于银行业市场集中度的下降。外资银行进入程度与银行业市场竞争度呈现U型关系,当前外资银行带来的实际竞争压力还很有限,只有当外资银行进入程度达到并超过一定水平时,才会对我国银行业的市场竞争发挥促进作用。     

中国银行业注资辨析

当前这场国际金融危机下,各国纷纷实施注资行为救助问题银行.而我国政府曾多次向国有银行等金融机构实施过各种形式的注资,中国银行业的注资问题也一直受到了学术界与实务部门的普遍关注.本文旨在从中西方对比的视角,探讨中国银行业注资的背景、方式、期限选择的特殊性所在.     

中国银行业注资辨析

当前这场国际金融危机下,各国纷纷实施注资行为救助问题银行。而我国政府曾多次向国有银行等金融机构实施过各种形式的注资,中国银行业的注资问题也一直受到了学术界与实务部门的普遍关注。本文旨在从中西方对比的视角,探讨中国银行业注资的背景、方式、期限选择的特殊性所在。     

Deposit Insurance, Capital Regulations, and Financial Contagion in Multinational Banks

Abstract:  Banking sector globalization has caused an expansion in foreign-owned bank assets. In this paper we analyse the effects of a MNB's liability structure upon its investment in a foreign country. We develop a model in which capital adequacy requirements introduce some deliberate underinvestment which counters deposit insurance-induced overinvestment. Diversification is unattractive with fixed bank capital requirements, because it reduces the expected value of the deposit insurance net. This effect applies in multinational banks (MNBs), where shocks to the home country economy alter the value of the deposit insurance net and hence affect overseas lending incentives. Thus, MNBs act as a channel for financial contagion. We discuss the policy implications of our results.     

从次贷危机看我国金融衍生市场监管路径的选择

次贷危机爆发后,各国金融监管当局开始重新审视与思考金融监管问题,并开始把金融监管触角延伸到金融产品层面,希望通过加强对金融产品研发、交易和传播链条上每一环节的监控,从源头上控制金融风险的发生与蔓延。基于此,本文重点探讨了金融衍生品与次贷危机的逻辑关系,并从监管层面对危机的爆发进行了相关分析,最后结合我国现状探讨了如何选择监管路径以提高监管能力的问题。     

Competition Between Low and High Quality Products in the Financial Services Market

The deregulation of the financial services markets has introduced many forms of competition. The game-theory model in this paper examines the interaction of firms who share the market by choosing products of different qualities. Such a model might apply to the competition between full-service and discount brokerage firms. The results show how the firms share the market and how the qualities and prices of the products react to changes in exogenous parameters. The low-quality level is more sensitive to changes in market volatility, and the high-quality level is more sensitive to consumer preferences and the cost of information. Assuming a uniform distribution of investor attitudes towards risk, the high-quality firm sells to 52.5% of the market, and the low-quality firm sells to 26.25%. The profit level of the low-quality firm is about 6% of that of the high-quality firm.     

An Empirical Analysis of Thomas's Financial Accounting Allocation Fallacy Theory in a Financial Distress Context

Thomas (1969, 1974 and 1975) theoretically attacked the practice of incorporating major accounting allocations across time such as depreciation and deferred taxes in financial accounting. Instead, he advocated using accrual-based funds statements as alternatives to an income statement (preferably a net-quick-assets funds statement). This paper reports the results of analyses of Thomas's assertions by using the predictive ability criterion, and the ordinal four-state financial distress methodology developed by Ward (1994). Results generally support Thomas's assertions. A net-quick-assets operating flow and an operating flow variable adjusted for depreciation and amortisation and deferred tax allocations are both normally stronger predictors of financial distress than a net income variable. However, contrary to Thomas's theory, the change in inventory, a non-monetary item, appears to be an important predictor of financial distress one year before distress.     

Capital Regulation and Competition as a Moderator for Banking Stability

Capital regulation forces banks to fund a substantial amount of their investments with equity. This creates a buffer against losses but also increases the cost of funding. If higher funding costs translate into higher loan interest rates, the bank's assets are also likely to become more risky, which may destabilize the lending bank. This paper argues that the level of competition in the banking sector can determine whether the buffer or cost effect prevails. The endogenous level of competition may be crucial in determining the efficiency of capital regulation in undercapitalized banking sectors, with excess capacities and correlated risks.     

民间资本反哺实业的金融特区构想

在中小企业融资难与民间资本投资无门并存的背景下,引导民间资本反哺实业,为解决民间投资问题、扶持实体经济的发展提供了新思路。本文构想建立金融特区,架构资金融通的桥梁,以引导民间资金投资实体产业;同时,设计多样化的金融手段,打破以往对金融机构营运的限制,以平衡资金供求关系;并实行独特的运行机制,加大对实体产业的经济支持,以提升民间资本服务实体经济的能力,旨在为全国金融改革提供政策建议,从而为国民经济的健康、稳定发展做出贡献。     

金融服务业集群竞争力评价研究

本文在全面回顾当前不同理论研究文献的基础上,从金融服务业集群竞争力的评价指标体系和评价模型两个层面入手,尝试将现代管理学中常用的模糊评价法和层次分析法有机结合,对金融服务业集群竞争力予以定量化评测和分析,试图解决金融服务业集群评价中的模糊性和不确定性问题,以期对我国金融服务业集群竞争力做出合理评价。     

县域农村银行业金融服务需求匹配度分析--以吉林省辽源市为例

为摸清我省农户、涉农企业银行业服务新需求新趋势,深入分析需求特点和对金融服务满足程度、便利程度,客观评价金融支农支小情况。本文以吉林辽源为例,实地调查了金融服务与需求情况,深入分析了金融服务需求匹配度及原因,并提出对策建议。     

Regulatory Capital Arbitrage and the Potential Competitive Impact of Basel II in the Market for Residential Mortgages

U.S. banking regulators have proposed a bifurcated system of capital regulation where the largest, internationally active banking organizations would be subject to significantly more risk sensitive regulatory capital requirements than are currently in place, while most others would remain subject to the current rules. The proposed new capital regime has the potential to affect the competitive landscape among banking institutions, particularly in the area of residential mortgage lending. We analyze the potential competitive effects of the proposed, bifurcated regulatory capital system on competition in the residential mortgage market from the perspective of the theory of regulatory capital arbitrage. We then apply the theory and available evidence to perform some benchmark calculations that suggest a significant, potential shift of market share and income to the largest banking institutions in the mortgage market.

The Impact of Basel II on Lending to Small- and Medium-Sized Firms: A Regulatory Policy Assessment Based on Spanish Credit Register Data

The objective of this paper is to evaluate the impact on bank credit exposures to small- and medium-sized Spanish firms of the current proposal for reform of the 1988 Capital Accord using information from the Spanish Credit Register. Capital requirements for exposures to those firms, according to the various revisions of the proposed capital reform (from the January 2001 consultative document to the April 2003 one), are calculated to analyze whether the existing pattern of bank financing of small- and medium-sized firms might be altered. Finally, the incentives for individual banks to adopt the advanced internal ratings-based approach proposed by Basel II are evaluated.