Hayden, Evelyn; Porath, Daniel; Westernhagen, Natalja von - Oesterreichische Nationalbank - 2006
Should banks be diversified or focused? Does diversification indeed lead to increased performance and therefore greater … between banks’ profitability and their portfolio diversification across different industries, broader economic sectors and … associated with diversification since each type of diversification tends to reduce the banks’ returns. Additionally, we find that …