Do Commercial Banks Benefit from diversification?-Evidence from Asian Banks
| Autor: | Yi-Ling Ke, 柯怡伶 |
|---|---|
| Druh dokumentu: | 學位論文 ; thesis |
| Popis: | 96 Non-interest incomes have become an increasingly important part of banks’ operating incomes because the wealth in Asia is largely increasing. Most banks regard non-interest incomes as one of the stable sources of bank revenues. In general, the industry believes increasing the ratio of non-interest incomes to operating incomes can not only improve profitability but also reduce the risk to the bank. However, Mercieca et al. (2007) and Stiroh (2004) have stated increasing non-interest activities increases the volatility of bank revenues and reduces the profitability of the bank. The objective of this study is to investigate whether the reliance on different sources of non-interest incomes will affect profitability of the bank in Asia. Moreover, we evaluate the performance and volatility at commercial banks of 13 countries in Asia for the period of 1997 through 2006. The results are associated with different ex outcomes. We find no direct diversification benefits cross most of countries and the different degree of develop. Finally, the data show that performance improves with size for commercial banks. These results have implications for bank managers to choose the best strategy to expand according to experience, technology, size and comparative advantage. |
| Databáze: | Networked Digital Library of Theses & Dissertations |
| Externí odkaz: |
|