We show that negative monetary policy rates induce systemic banks to reach-for-yield. For identification, we exploit … the 26 largest euro area banking groups. Banks with more customer deposits are negatively affected by negative rates, as … higher returns. Effects are stronger for less capitalized banks, private sector (financial and non-financial) securities and …

deposits and savings deposits. Bank soundness, credit risk and interest rate risk are found to exert a significant influence on … monetary policy was up (down). Overall, we find that competition among banks and competition from financial markets result in a …

We study the prices that individual banks pay for liquidity (captured by borrowing rates in repos with the central bank … depend in particular on the distribution of liquidity across banks, which is calculated over time using individual banklevel … data on reserve requirements and actual holdings. Banks pay more for liquidity when positions are more imbalanced across …

on banks’ internal ratings on loans to businesses over the period 1997 to 2011 from the Federal Reserve’s survey of terms … of business lending. We find that ex-ante risk taking by banks (measured by the risk rating of new loans) is negatively … with the nationwide business cycle, and less pronounced for banks with relatively low capital or during periods of …

The response of major central banks to the global financial crisis has revived the debate around the interactions …-offs, and the adverse spillovers on banks' intermediation capacity and risk-taking require close monitoring. The paper ends by …

-based funding opportunity for unlisted firms. Using the Italian Credit Register, we investigate the impact of minibond issuance on … bank credit conditions for issuer firms, both at the firm-bank and firm level. We compare new loans granted to issuer firms … bank loans of the same maturity than non-issuer firms, suggesting an improvement in their bargaining power with banks. In …

Do negative interest rates affect banks' cost efficiency? We exploit the unprecedented introduction of negative policy … interest rates in the euro area to investigate whether banks make a virtue out of necessity in reacting to negative interest … rates by adjusting their cost efficiency. We find that banks most affected by negative interest rates responded by enhancing …