Convolutional Neural Networks (CNNs) are a specialized class of deep neural networks tailored for processing high-dimensional data, excelling in tasks like image classification, object detection, and facial recognition. Their architecture is built on convolutional layers interspersed with...

This paper develops an early warning system for predicting distress for large European banks. Using a novel definition of distress derived from banks' headroom above regulatory requirements, we investigate the performance of three machine learning techniques against the traditional logistic...