scholarly journals Ownership Structure and Bank Risk: The Effects of Crisis, Market Discipline and Regulatory Pressure

2018 ◽  
Author(s):  
Dung Tran ◽  
M. Kabir Hassan ◽  
Reza Houston
Keyword(s):  
Ownership Structure ◽  
Market Discipline ◽  
Bank Risk ◽  
Regulatory Pressure

scholarly journals The Impact of Private Ownership Structure on Risk Taking by Pakistani Banks: An Empirical Study

2018 ◽  
Vol 6 (3) ◽  
Author(s):  
Muhammad Sajjad Hussain ◽  
Muhammad Muhaizam Bin Musa Musa ◽  
Muhammad Muhaizam Bin Musa Musa ◽  
Abdelnaser Omran Ali
Keyword(s):  
Ownership Structure ◽  
Risk Taking ◽  
Negative Impact ◽  
Negative Relationship ◽  
Financial Statements ◽  
International Standards ◽  
Bank Risk ◽  
Private Ownership ◽  
Private Banks ◽  
The Impact

The financial crisis of 2007-09 was converted the focus of researchers and regulators toward bank risk-taking and this study is also analyzed the private ownership structure impact on Pakistani bank’s risk-taking. This study selects the all Pakistani private banks for investigation and data is collected from financial statements from 2005 to 2016. Most of the past studies found a negative impact of private ownership structure on bank risk-taking and this study is also indicated the negative relationship between private ownership and bank risk-taking. On the other, non-performing loans are double than the international standards that highlighted the owner’s attention toward high risky investments for high return. Thus, this study suggests that check this relationship with other factors that forced the owner’s behavior toward risk.

scholarly journals The Effects Of Ownership Structure And Listed Status On Bank Risk In China

2013 ◽  
Vol 29 (3) ◽  
pp. 695 ◽  
Author(s):  
Maoyong Cheng ◽  
Hong Zhao ◽  
Junrui Zhang
Keyword(s):  
Regression Analysis ◽  
Credit Risk ◽  
Ownership Structure ◽  
Commercial Banks ◽  
Capital Adequacy ◽  
Bank Risk ◽  
Capital Adequacy Ratio ◽  
Asset Quality ◽  
Relationship Of ◽  
The Relationship

This paper investigates the relationship of ownership structure, listed status and risk by using regression analysis based on the relevant data of Chinas commercial banks. Three main results emerge. First, compared to the state-owned banks, foreign-owned commercial banks exhibit better asset quality, lower credit risk and higher capital adequacy ratio; city commercial banks have lower credit risk and joint-stock commercial banks have lower credit risk and capital adequacy ratio. Second, listed status improves the asset quality and capital adequacy ratio. Finally, we also find that the listed status significantly moderates the relationship between ownership structure and risk. In conclusion, this study provides a theoretical reference for the reform of Chinas commercial banks.

scholarly journals Impact of Ownership Structure on Bank Risk Taking: A Comparative Analysis of Conventional Banks and Islamic Banks of Pakistan

2021 ◽  
Vol 4 (1) ◽  
pp. 175-181
Author(s):  
ARIF HUSSAIN ◽  
DR. ALAM REHMAN ◽  
AQSA SIDDIQUE ◽  
HASEEB UR REHMAN
Keyword(s):  
Ownership Structure ◽  
Risk Taking ◽  
Positive Impact ◽  
Institutional Ownership ◽  
Foreign Ownership ◽  
Bank Risk ◽  
Managerial Ownership ◽  
Islamic Banks ◽  
Block Holders ◽  
Conventional Banks

This study is about the impact of ownership structure on bank risk taking with comparison between conventional banks and Islamic banks of Pakistan. Z-Score and SDROA are used as risk taking variables. While managerial ownership, institutional ownership, foreign ownership and block holders were taken as proxies for ownership structure. Ten private commercial banks and four Islamic banks were randomly selected and data have been collected from annual reports of these banks from 2010 to 2016. The result suggested that all the proxies of ownership structure i.e. managerial ownership, institutional ownership, foreign ownership and block holders have significant positive impact on Z-Score. On the other hand using SDROA as proxy for risk taking the proxies of managerial ownership has significant positive impact on SDROA and institutional ownership has significant negative impact on SDROA of banks in Pakistan. On the other hand foreign ownership and block holders have insignificant impact on SDROA. The result of BankID is significant which shows that ownership structure has significant impact on bank risk taking in conventional banks while in Islamic banks ownership structure doesn’t have any significant impact on bank risk.

Capital regulation and ownership structure on bank risk

2019 ◽  
Vol 28 (1) ◽  
pp. 39-56 ◽  
Author(s):  
Aysa Siddika ◽  
Razali Haron
Keyword(s):  
Maximum Likelihood ◽  
Ownership Structure ◽  
Risk Taking ◽  
Commercial Banks ◽  
Dynamic Panel Data ◽  
Bank Risk ◽  
Capital Regulation ◽  
Content Type ◽  
Global Banking ◽  
The Impact

Purpose This paper aims to examine the impact of capital regulation, ownership structure and the degree of ownership concentration on the risk of commercial banks. Design/methodology/approach This study uses a sample of 565 commercial banks from 52 countries over the period of 2011-2015. A dynamic panel data model estimation using the maximum likelihood with structural equation modelling (SEM) was followed considering the panel nature of this study. Findings The study found that the increase of capital ratio decreases bank risk and the regulatory pressure increases the risk-taking of the bank. No statistically significant relationship between banks’ ownership structure and risk-taking was found. The concentration of ownership was found negatively associated with bank risk. Finally, the study found that in the long term, bank increases the capital level that decreases the default risk. Originality/value This study presents an empirical analysis on the global banking system focusing on the Basel Committee member and non-member countries that reflect the implementation of Basel II and Basel III. Therefore, it helps fill the gap in the banking literature on the effect of recent changes in the capital regulation on bank risk. Maximum likelihood with SEM addresses the issue of endogeneity, efficiency and time-invariant variables. Moreover, this study measures the risk by different proxy variables that address total, default and liquidity risks of the banks. Examining from a different perspective of risk makes the study more robust.

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