Acharya, Viral V.; Hasan, Iftekhar; Saunders, Anthony - In: The Journal of Business 79 (2006) 3, pp. 1355-1412
We study the effect of loan portfolio focus versus diversification on the return and the risk of 105 Italian banks over the period 1993–99 using data on bank-by-bank exposures to different industries and sectors. We find that diversification is not guaranteed to produce superior performance...