Purpose: Compliance competence is key to the operation and reputation of the financial services sector and is now completely embedded in the way financial services organisations carry on investment business. It is also fundamental to the Financial Services Authority (FSA) in seeking to achieve...

Applicants for credit have to provide information for the risk assessment process. In the current conditions of a saturated consumer lending market, and hence falling “take” rates, can such information be used to assess the probability of a customer accepting the offer?With the advent of...

This article reviews some of the applications of mathematical programming infinance. Of course mathematical programming has long been recognised as a vitalmodelling approach to solve optimization problems in finance. Markowitz’s NobelPrize winning work on portfolio optimization showed how...

Are there significant benefits of revenue diversification for banks in emerging economies? This paper investigates the impact of revenue diversification on insolvency risk in emerging economies as measured by the distance to default. Using a panel dataset of 322 listed banks across 22 countries...

This paper investigates the abnormal share return dispersion occurring when companies announce their interim or final earnings. Whereas, prior research has focused on abnormal returns, little attention has been given to investigating the dispersion of the abnormal returns. We find strong...

Credit scoring is used by lenders to minimise the chance of taking an unprofitable account with the overall objective of maximising profit. Profit is generated when a good customer accepts an offer from the organisation. So it is also necessary to get the customers to accept the offer. A lender...

We investigate whether a relationship exists between ownership structure, revenue diversification and insolvency risk. Using a panel dataset of 158 listed banks across 15 European countries over the period 1995-2006, we provide the first empirical evidence of the impact of (i) ownership...

Are there significant benefits of revenue diversification for banks in emerging economies? This paper investigates the impact of revenue diversification on insolvency risk in emerging economies as measured by the distance to default. Using a panel dataset of 322 listed banks across 22 countries...

Although the corporate credit risk literature has many studies modelling the change in the credit risk of corporate bonds over time, there is far less analysis of the credit risk for portfolios of consumer loans. However behavioural scores, which are commonly calculated on a monthly basis by...