bank issues covered bonds backed by a pool of assets that is bankruptcy remote and replenished following losses …. Encumbering assets allows a bank to raise cheap secured debt and expand profitable investment, but it also concentrates risk on …

We examine the association between audit quality and the use of collateral in a sample of Chinese firms from 2005 to … 2011. Using the full sample, we document a negative relationship between audit quality and the use of collateral that is … consistent with lenders’ interests. We also show that audit quality and collateral are regarded as alternative means of reducing …

This paper provides new insights into the nature of loan securitization. We analyze the use of collateralized loan … obligation (CLO) transactions by European banks from 1997 to 2004 and try to identify the influence that various firm …-specific and macroeconomic factors may have on an institution's securitization decision. We find that not only regulatory capital …