Wealth effects of banks’ rights to market and originate annuities
| Autor: | Jann C. Howell, Mark L. Power, Arnold R. Cowan |
|---|---|
| Rok vydání: | 2002 |
| Předmět: |
Economics and Econometrics
business.industry Event study Distribution (economics) Financial system Monetary economics jel:L51 jel:G21 Annuities VALIC financial modernization deregulation deposit insurance Blackfeet National Bank event studies jel:G22 Supreme court jel:G28 Deregulation jel:G14 Annuity (American) Economics Mandate Deposit insurance Business Finance |
| Zdroj: | The Quarterly Review of Economics and Finance. 42:487-503 |
| ISSN: | 1062-9769 |
| Popis: | We examine wealth effects, for banks and insurers, of bank rights to sell and underwrite annuities. The stock-price reactions to four court and regulatory decisions are consistent with expectations of bank gains at insurers’ expense. Cross-sectionally, smaller, riskier insurers with higher distribution costs and substantial annuity business sustain larger wealth losses. Larger, riskier bank-holding companies with fee-based and consumer business gain most, consistent with the extension of federal safety-net guarantees as a source of gains. Banking stock-price reactions to the Supreme Court’s decision are opposite other findings, possibly reflecting unfulfilled expectations of a broader mandate for expanded bank rights. |
| Databáze: | OpenAIRE |
| Externí odkaz: |
|
Full Text from ScienceDirect