Bank Lending in the Knowledge Economy - read free eBook in online reader or directly download on the web page. Select files or add your book in reader. Download and read online ebook Bank Lending in the Knowledge Economy write by Mr.Giovanni Dell'Ariccia. This book was released on 2017-11-07. Bank Lending in the Knowledge Economy available in PDF, EPUB and Kindle. We study bank portfolio allocations during the transition of the real sector to a knowledge economy in which firms use less tangible capital and invest more in intangible assets. We show that, as firms shift toward intangible assets that have lower collateral values, banks reallocate their portfolios away from commercial loans toward other assets, primarily residential real estate loans and liquid assets. This effect is more pronounced for large and less well capitalized banks and is robust to controlling for real estate loan demand. Our results suggest that increased firm investment in intangible assets can explain up to 20% of bank portfolio reallocation from commercial to residential lending over the last four decades.
Bank Lending in the Knowledge Economy
Bank Lending in the Knowledge Economy - read free eBook in online reader or directly download on the web page. Select files or add your book in reader. Download and read online ebook Bank Lending in the Knowledge Economy write by Giovanni Dell'Ariccia. This book was released on 2018. Bank Lending in the Knowledge Economy available in PDF, EPUB and Kindle. We study bank portfolio allocations during the transition of the real sector to a knowledge economy in which firms increasingly use intangible assets. We show that higher corporate investment in intangible assets slows down banks' commercial lending. Banks reallocate the resulting lending capacity to other assets, notably mortgages. The findings are consistent with financial intermediation frictions due to lower collateral value of corporate intangible assets. Additional tests rule out alternative explanations such as higher mortgage demand. We estimate that higher corporate intangible assets conservatively explain 25-40% of the decline in bank commercial lending since the mid-1980s.
Bank Lending in the Knowledge Economy
Bank Lending in the Knowledge Economy - read free eBook in online reader or directly download on the web page. Select files or add your book in reader. Download and read online ebook Bank Lending in the Knowledge Economy write by . This book was released on 2020. Bank Lending in the Knowledge Economy available in PDF, EPUB and Kindle. We study the composition of bank loan portfolios during the transition of the real sec-tor to a knowledge economy where firms increasingly use intangible capital. Exploiting heterogeneity in bank exposure to the compositional shift from tangible to intangible capital, we show that exposed banks curtail commercial lending and reallocate lending to other assets, such as mortgages. We estimate that the substantial growth in intangible capital since the mid-1980s explains around 30% of the secular decline in the share of commercial lending in banks' loan portfolios. We provide suggestive evidence that this reallocation increased the riskiness of banks' mortgage lending.
Bank Lending in the Knowledge Economy
Bank Lending in the Knowledge Economy - read free eBook in online reader or directly download on the web page. Select files or add your book in reader. Download and read online ebook Bank Lending in the Knowledge Economy write by Mr.Giovanni Dell'Ariccia. This book was released on 2017-11-07. Bank Lending in the Knowledge Economy available in PDF, EPUB and Kindle. We study bank portfolio allocations during the transition of the real sector to a knowledge economy in which firms use less tangible capital and invest more in intangible assets. We show that, as firms shift toward intangible assets that have lower collateral values, banks reallocate their portfolios away from commercial loans toward other assets, primarily residential real estate loans and liquid assets. This effect is more pronounced for large and less well capitalized banks and is robust to controlling for real estate loan demand. Our results suggest that increased firm investment in intangible assets can explain up to 20% of bank portfolio reallocation from commercial to residential lending over the last four decades.
Bank Lending
Bank Lending - read free eBook in online reader or directly download on the web page. Select files or add your book in reader. Download and read online ebook Bank Lending write by Hong Kong Institute of Bankers (HKIB). This book was released on 2012-04-24. Bank Lending available in PDF, EPUB and Kindle. Sophisticated banking is vital for modern society to function and prosper. Banks lend to individuals and corporations but do so after carefully exploring the risks they undertake to each customer. This book examines the important role of lending in banking operations and how banks can implement safe and effective loan initiatives. Banks rely on lending to generate profits, but it can be a risky venture. It is important for banking professionals to understand how to mitigate those risks. Bank Lending from the Hong Kong Institute of Bankers discusses a variety of topics that impact a bank's loan strategy. This is an essential read for candidates studying for the HKIB Associateship Examination and those who want to acquire expert knowledge of Hong Kong's bank lending system. Topics covered in this book include: Assessing and reducing lending risk Understanding the customer through financial statements Using ratios to determine risk Setting up an internal structure to reduce risk Pricing and managing loans Dah Sing Bank is delighted to sponsor this resourceful book. The Dah Sing Group is a leading financial services group in Hong Kong, active in providing banking, insurance, financial, and other related services in Hong Kong, Macau, and the People's Republic of China. The Dah Sing Group has gained a reputation as one of the most progressive and innovative financial services groups. Keys to its success are the strength of the Dah Sing management team and the group's commitment to serving its customers.
