全球智库信息集成服务系统(G2TT): DP14957 In the Shadow of Banks: Wealth Management Products and Issuing Banks’ Risks in China

G2TT

来源类型	Discussion paper
规范类型	论文
来源ID	DP14957
	DP14957 In the Shadow of Banks: Wealth Management Products and Issuing Banks’ Risks in China
	Viral Acharya; Jun Qian; Yang Su; Zhishu Yang
发表日期	2020-06-28
出版年	2020
语种	英语
摘要	We study the rise and risks in bank issuance of Wealth Management Products (WMPs), which are off-balance-sheet substitutes for deposits without the regulatory interest rate ceilings and constitute the largest shadow banking segment in China. We show that competition for deposits has a causal effect on the WMP issuance of small and medium sized banks (SMBs), where we instrument deposit competition by SMBs’ geographical exposure to the large (Big Four) banks. The Big Four banks substantially increased their loan supply to support the RMB 4 trillion stimulus initiated in response to the global financial crisis, and thereafter grew more aggressive in the deposit markets in order to stay below the regulatory ceiling on the loan-to-deposit ratio. In response, SMBs issued more WMPs and more frequently, besides also establishing fewer branches in cities with greater competition from the Big Four banks. We find that this growth of WMPs imposed rollover risks for all the bank issuers, as reflected in higher yields on new WMPs, higher borrowing rates in the inter-bank market, and adverse stock market performance of WMP-issuing banks on days with heightened rollover risks.
主题	Financial Economics
关键词	Shadow banking Regulatory arbitrage Rollover risk Financial fragility Deposit competition
URL	https://cepr.org/publications/dp14957
来源智库	Centre for Economic Policy Research (United Kingdom)
资源类型	智库出版物
条目标识符	http://119.78.100.153/handle/2XGU8XDN/543902
推荐引用方式 GB/T 7714	Viral Acharya,Jun Qian,Yang Su,等. DP14957 In the Shadow of Banks: Wealth Management Products and Issuing Banks’ Risks in China. 2020.