The paper examines whether bank diversification in multiple dimensions can protect bank lending from uncertainty shocks … credit risk amid greater uncertainty. These adverse impacts of uncertainty on bank lending (both quantity and quality) are … significantly alleviated by bank diversification in the loan portfolio, income, and funding aspects. Our findings offer practical …

This study focuses on the diversification benefits of the most developed equity markets of Central and Eastern Europe … (CEE). To evaluate these benefits of diversification we use so-called spanning tests based on a stochastic discount factor …