Should banks be diversified or focused? Does diversification indeed lead to enhanced performance and, therefore …, greater safety for banks, as traditional portfolio and banking theory would suggest? This paper investigates the link between … banks? profitability (ROA) and their portfolio diversification across different industries, broader economic sectors and …

benefit of greater diversification in terms of higher monitoring dominates the costs of free-riding and duplication of efforts … firms and banks are subject to moral hazard and monitoring is essential. Multiple-bank lending is optimal whenever the … less profitable, and poor financial integration, regulation and inefficient judicial systems increase monitoring costs …

Die Wahl zwischen Diversifikation und Spezialisierung ist eine lange und kontrovers diskutierte Frage in der … messen, wie sie bei real existierender, also beobachtbarer Diversifikation reagieren und ob sie in Querschnitt- und … Diversifikation sowie ihrer Entwicklung im Zeitverlauf für das verarbeitende Gewerbe in Deutschland gegeben. …

the 1990-6 period, we observe a trend towards complementary diversification in the United States and the eight East Asian … into related businesses. We also document the valuation effects of the diversification level, vertical relatedness and … complementarity. We observe that diversification hurts the valuation of East Asian firms less than the valuation of firms in the …