Effects from the Parent Exposure to Subsidiaries inside Bank Holding Companies (BHCs)
MetadataShow full item record
This paper investigates whether the degree of exposure of the parent to the subsidiaries is an important determinant for the corporate structure and the related financial stability of Bank Holding Companies (BHCs). We observe that, when the parent is more exposed to the subsidiaries, through the holdings of equity or debt claims issued by the same affiliates, the ultimate BHC capital structure is highly leveraged, and tends to include a larger share of nonperforming assets. Our view is that, parent–subsidiary exposures might create frictions, which leads to deterioration in the financial stability of BHCs. The paper discusses the results in the framework of the debate among financial authorities around the complexity of financial organizations.
Showing items related by title, author, creator and subject.
Psychological well-being and life satisfaction in parents of children with leukaemia compared with parents of children with diabetes mellitus type I Tremolada M; Taverna L; Bonichini S (University of Messina, 2017)
Smorti, M; Guarnieri, S; Ingoglia, S (2014)The present study examined the relations between gender, the parental bond, resistance to peer influence, and risky driving. In particular, the mediating role of resistance to peer pressure in the relationship between ...
Tani, F; Ponti, L; Smorti, M (Bentham open, 2014)Although shyness constitutes a risk factor for maladjustment, parenting style may influence these developmental trajectories during childhood. Little is known about the role of parental style in the relationship between ...