Can a tightening of the bank resolution regime lead to more prudent bank behavior? This policy paper reviews arguments … for why this could be the case and presents evidence linking changes in bank resolution regimes with bank risk-taking. The … authors find that the tightening of bank resolution in the U.S. (i.e., the introduction of the Orderly Liquidation Authority …

This investigation starts with the observation that, over the last decade, profitability rates reported by euro area … profitability gap of around 5 percentage points.1 However, while comparisons are frequently made between EA and US banks in academic …-for-like comparison. This paper seeks to identify and analyse the factors behind the profitability gap in a structured manner. We …

This study assesses euro area banks' profitability using granular stress test data from three EU-wide exercises …-adjusted return on assets for the euro area as a whole and for individual countries to assess the profitability of lending activities … profitability of the various portfolios. We investigate how many country portfolios switch from profitable to loss-making under …

This paper proposes and evaluates several market-based measures for US and eurozone individual bank tail risk and … banking system risk. We apply statistical extreme value analysis to the tails of bank equity prices to estimate the likelihood … to global shocks ( extreme systematic risk). Moreover, the estimators presuppose that bank equity prices are heavy tailed …