Liquidity Risk, Efficiency and New Bank Business Models

This book provides insight into current research topics in finance and banking in the aftermath of the financial crisis. In this volume, authors present empirical research on liquidity risk discussed in the context of Basel III and its implications. Chapters also investigate topics such as bank efficiency and new bank business models from a business diversification perspective, the effects on financial exclusion and how liquidity mismatches are related with the bank business model. This book will be of value to those with an interest in how Basel III has had a tangible impact upon banking processes, particularly with regard to maintaining liquidity, and the latest research in financial business models.

1) A Note on Regulatory Arbitrage: Bank Risk, Capital Risk, Interest Rate Risk and ALM in European Banking; Magnus Willesson.- 2) Basel III, Liquidity Risk and Regulatory Arbitrage.- 3) OTC Derivatives and Counterparty Credit Risk Mitigation: The OIS Discounting Framework; Paola Leona, Massimo Proietti, Pasqualina Porretta and Gianfranco Vento.- 4) Diversification and Connections in Banking: First Findings; Claudio Zara and Luca Cerrato.- 5) Banking System and Financial Exclusion: Towards a More Comprehensive Approach; Marta de la Cuesta González, Cristina Ruza y Paz-Curbera and Beatriz Fernández Olit.- 6) Small and Medium-Sized Banks in Central and Eastern European Countries; Katarzyna Mikolajczyk.- 7) Stock Returns and Bank Ratings in the PIIGS; Carlos Salvador Muñoz.- 8) Value Creation Drivers in European Banks: Does the Capital Structure Matter?; Josanco Floreani, Maurizio Polato, Andrea Paltrinieri and Flavio Pichler.- 9) Liquidity Mismatch, Bank Borrowing Decision and Distress: Empirical Evidence From the Italian Credit Co-Operative Banks; Gianfranco Vento, Andrea Pezzotta and Stefano Di Colli.

Santiago Carbó-Valverde is Professor of Economics and Finance at Bangor University, UK. He was previously a Professor of Economics at the University of Granada, Spain. He currently serves as Director of the Financial Services Studies of Spanish Savings Banks Association (FUNCAS) and as President of the Rating Committee of Axexor. He has been advisor to the European Central Bank, the Federal Reserve Bank of Chicago, financial institutions, such as BMN, and has spoken at the G-20 forum.

Pedro Jesús Cuadros-Solas is a Lecturer in Economics and a Researcher in Banking and Finance at the University of Granada, Spain. He holds a Bsc in Business Management and Law from the University of Jaén, Spain, and a Msc in Economics from the University of Granada. He is also a member of the Department of Economic Theory and History at the University of Granada. He has been a visiting scholar at the Bangor Business School (UK) and also at the University of St. Andrews, UK.

Francisco Rodríguez-Fernández is Professor of Economics at the University of Granada, Spain. He is also a Senior Economist at the Spanish Savings Banks Foundation (FUNCAS). He has spent time as a visiting scholar at the University of Modena (Italy), Bangor Business School (UK) and the Federal Reserve Bank of Chicago (USA). He has served as a consultant to the European Commission, the European Research Framework Programme, the Spanish Ministry of Labour, KPMG and Euro 6000.