SHAREHOLDERS VALUE AND CATASTROPHE BONDS. AN EVENT STUDY ANALYSIS AT EUROPEAN LEVEL

Considering that the E.U. based (re)insurance companies are increasingly active within the segment of alternative risk transfer market, the aim of the present paper is to emphasize the impact of issuing cat bonds on the shareholders’ value for highlighting the competitive advantages of the analysed (re)insurance companies while pursuing the consolidation of their resilience in a turbulent economic environment.Eminently an applicative research, the analysis employs an event study methodology whereas adjusting the market model residuals with the aim of accounting for generalized autoregressive conditional heteroskedastic (GARCH) effects through advanced econometric procedures. To account for the shareholders’ value, the research employs high frequency financial data (daily returns of stoc k-exchange listed (re)insurance companies) and the cat bonds’ announcement dates as economic events

European banks in China: An event study analysis

This paper analyses the impact of accessing Chinese credit market on European banks, as they are the main foreign investors in this market. The impact is assessed in terms of changes in the share prices of European banks following the announcement of operations on the Chinese credit market. Empirical verification is conducted through an event study methodology. The analysis refers to the 2001-2014 period. Results show that the announcement of an operation in China has a positive impact on the value of the European bank itself, albeit limited and with different levels

Risparmi e bilanci delle famiglie

Il contributo al volume descrive la situazione dei bilanci delle famigli umbre nel periodo 2008-14 e come si sono modificate le scelte finanziarie di questo settore istituzionale dell'economia regionale durante la crisi cominciata nel 2008

Catastrophe Bonds Structures at European Level – A Cluster Analysis Approach

The present paper aims at examining several characteristics of the catastrophe bonds (CB) market by focusing on emblematic transactions with the objective of stressing the choices of the European-based (re)insurance groups in terms of the CB tranches structure. For the purpose of highlighting the common individualities regarding the configuration of the catastrophe bonds, there are recognized homogenous groups in terms of covered perils and size of the each CB tranche, while emphasizing some stringent aspects linked to their trigger mechanism (like the basis risk), their rating, or tenor. The research identifies several profiles regarding the structural characteristics of the CB during the entire analysed period (1999-2014) and the main periods of development of the market. Accommodating categorical and continuous data, the structural patterns are determined and analysed by applying the two-step cluster methodology

Credit quality and economic development in China

China’s economy has had significant growth rates in recent years: the banking system has been the main source of financing this process. There are significant differences in the contribution of both regions and economic sectors to national economic growth. The aim of this research is to investigate the relationship between Chinese economic growth and bank loans, by regions and sectors, from 2003 to 2009. The assumption is that the distribution and the quality of loans by banking system reflects the differences in development by regions and sectors in China. The methodology adopted is a linear regression analysis. We use: as dependent variable, per capita gross domestic product; as independent variables, the ratio between loans and population, the ratio between the number of graduates in Regular Senior Secondary Schools and population. Besides, with the aim to consider the impact of credit quality on economic growth, we include in the set of independent variables the ratio between non performing loans on total loans. Finally, to evaluate the phenomenon over time, we also introduced some dummy variables. All variables are on a provincial basis. Data will be from National Supervisors and Bureau of Statistics publications. Our analysis demonstrates that the quality of bank credit is not a significant variable in explaining the evolution of gross domestic product, while the amount of credit and the educational level are statistically significant

SHAREHOLDERS VALUE AND CATASTROPHE BONDS. AN EVENT STUDY ANALYSIS AT EUROPEAN LEVEL

Considering that the E.U. based (re)insurance companies are increasingly active within the segment of alternative risk transfer market, the aim of the present paper is to emphasize the impact of issuing cat bonds on the shareholders’ value for highlighting the competitive advantages of the analysed (re)insurance companies while pursuing the consolidation of their resilience in a turbulent economic environment.Eminently an applicative research, the analysis employs an event study methodology whereas adjusting the market model residuals with the aim of accounting for generalized autoregressive conditional heteroskedastic (GARCH) effects through advanced econometric procedures. To account for the shareholders’ value, the research employs high frequency financial data (daily returns of stoc k-exchange listed (re)insurance companies) and the cat bonds’ announcement dates as economic events