journal article Jun 29, 2021

Ultimate ownership and bank competition

Financial Management Vol. 51 No. 1 pp. 227-269 · Wiley
View at Publisher Save 10.1111/fima.12368
Abstract
AbstractWe document substantial time‐series and cross‐sectional variation in branch‐level deposit account interest rates, maintenance fees, and fee thresholds, and examine whether variation in bank concentration helps explain variation in these prices. Herfindahl–Hirschman Index (HHI) alone is not correlated with any of the outcome variables. A “generalized HHI” (GHHI) capturing both common ownership (the degree to which banks are commonly owned by the same investors) and cross‐ownership (the extent to which banks own shares in each other), is strongly correlated with all prices, even when we limit cross‐sectional variation in bank ownership to only that predicted by the growth of index funds.
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Metrics
124
Citations
78
References
Details
Published
Jun 29, 2021
Vol/Issue
51(1)
Pages
227-269
License
View
Cite This Article
José Azar, Sahil Raina, Martin Schmalz (2021). Ultimate ownership and bank competition. Financial Management, 51(1), 227-269. https://doi.org/10.1111/fima.12368
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