Hoque, Hafiz Al Asad Bin orcid.org/0000-0002-4354-3895 and Pour, Eilnaz (2018) Bank‐level and country‐level determinants of bank capital structure and funding sources. International Journal of Finance and Economics. pp. 504-532. ISSN 1099-1158
Abstract
We examine the determinants of capital structure and funding sources of 347 large global banks between 1998 and 2016 from 57 countries around the world. We find that the capital structure of banks does not evolve only as a result of capital regulations, it is also affected by market forces. We find that bank capital structure corresponds to corporate finance theory and buffer view and, in particular, that market‐to‐book ratio, size, and risk are positively related and that profitability is negatively related to bank leverage. Banks in countries with higher tax advantages, creditor rights, deposit insurance, and bankruptcy codes have more leverage, and those bound by common law have less leverage. Size and country‐level factors are important determinants of sources of financing
Metadata
Item Type: | Article |
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Authors/Creators: |
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Copyright, Publisher and Additional Information: | © 2018 John Wiley & Sons, Ltd. This is an author-produced version of the published paper. Uploaded in accordance with the publisher’s self-archiving policy. Further copying may not be permitted; contact the publisher for details. |
Keywords: | capital structure, crisis, deposit/nondeposit financing, global banks, speed of adjustment |
Dates: |
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Institution: | The University of York |
Academic Units: | The University of York > Faculty of Social Sciences (York) > The York Management School |
Depositing User: | Pure (York) |
Date Deposited: | 19 Feb 2019 14:00 |
Last Modified: | 16 Oct 2024 15:29 |
Published Version: | https://doi.org/10.1002/ijfe.1635 |
Status: | Published online |
Refereed: | Yes |
Identification Number: | 10.1002/ijfe.1635 |
Open Archives Initiative ID (OAI ID): | oai:eprints.whiterose.ac.uk:142757 |
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Description: Bank_Level_and_Country_Level_Determinants_of_Bank_Capital_Structure_26_June_Final_2018_accepted version