Pillar 3 and Modelling of Stakeholders’ Behaviour at the Commercial Bank Website during the Recent Financial Crisis

AbstractThe paper analyses domestic and foreign market participants’ interests in mandatory Basel 2, Pillar 3 information disclosure of a commercial bank during the recent financial crisis. The authors try to ascertain whether the purposes of Basel 2 regulations under the Pillar 3 - Market discipline, publishing the financial and risk related information, have been fulfilled. Therefore, the paper focuses on modelling of visitors’ behaviour at the commercial bank website where information according to Basel 2 is available. The authors present a detailed analysis of the user log data stored by web servers. The analysis can help better understand the rate of use of the mandatory and optional Pillar 3 information disclosure web pages at the commercial bank website in the recent financial crisis in Slovakia. The authors used association rule analysis to identify the association among content categories of the website. The results show that there is in general a small interest of stakeholders in mandating the commercial bank's disclosure of financial information. Foreign website visitors were more concerned about information disclosure according to Pillar 3, Basel 2 regulation, and they have less interest in general information about the bank than domestic ones