In this paper we investigate the role played by banks in financing European fintech startups. We postulate that this role may be influenced by two conflicting objectives. First, banks could be motivated by value considerations, in that the objective would be to help the fintech scale-up and...

Based on a large sample of publicly listed and non-listed US commercial banks from 1996 to 2011, we find robust evidence consistent with banks using realized available for sale (AFS) securities gains and losses to smooth earnings and increase low regulatory capital. We also find (i) banks with...