The effects of bail-ins on bail-out expectations in the European Banking sector

In the aftermath of the Great Recession, sovereign guarantees and the associated bail-out ex-pectations caused a distortion in the cost of funding and risk-taking behaviour of financial in-stitutions. The Bank Recovery and Resolution Directive (BRRD) aims to achieve financial sta-bility through transparency and incentivizing market discipline. The central tool of the BRRD, the bail in, is a burden-sharing mechanism reallocating the cost of the gone concern of financial institutions. Forcing shareholders and creditors to participate in potential losses must increase monitoring, thus reducing the moral hazard of large financial institutions. If the directive is credible, these changes in bail-out expectations must be reflected in the security prices of all affected banks. As changes in regulation are introduced over several years, effects on market prices are difficult to observe. I show that the recurring resolution events between 2011 and 2016 across several Eurozone countries affected bail-out expectations, reaching a critical level in 2013. The write down of junior debt in Cyprus caused highly significant reactions on bank charter values and CDS spreads. From 2014 to 2016, effects were inconsistent and lacked di-rection. This decrease in market reactions points to the achievement of bail-in expectations through commitment and consistent implementation. Bail-in expectations imply the anticipa-tion of a bail-in in case of bank financial distress, which requires strict and diligent monitoring.Na sequência da Grande Recessão, as garantias soberanas e as expectativas de bail out associ-adas causaram uma distorção no custo do financiamento e no comportamento de risco das ins-tituições financeiras. O Banco de Recuperação e Diretiva de Resolução (BRRD) visa alcançar a estabilidade financeira através da transparência e do incentivo à disciplina de mercado. A ferramenta central da BRRD, a fiança, é um mecanismo de repartição de encargos que reafecta o custo. Forçar os acionistas e credores a participar em perdas potenciais deve aumentar o mo-nitoramento moral hazard. Se a diretiva for credível, essas mudanças nas expectativas de resgate devem refletir-se nos preços de segurança. Como as mudanças na regulamentação são introdu-zidas ao longo de vários anos, os efeitos nos preços de mercado são difíceis de observar. Eu venho mostrar que os eventos de resolução recorrente entre 2011 e 2016 em vários países da zona do euro afetaram as expectativas de bail-out, atingindo um nível crítico em 2013. A redu-ção da dívida júnior em Chipre causou reações altamente significativas sobre os valores da carta patente do banco e os spams do CDS. De 2014 a 2016, os efeitos foram inconsistentes e care-ciam de direção. Esta diminuição nas reações do mercado aponta para a realização das expec-tativas de fiança através de compromisso e implementação consistente. As expectativas de fi-ança implicam a antecipação bail-in em caso de instabilidade financeira bancária, o que exige um monitoramento rigoroso e diligente

Population dynamics of Kestrels (Falco tinnunculus) and Barn Owls (Tyto alba): Results from an evaluation in the Kraichgau Area (Southwest Germany)

Turmfalke (Falco tinnunculus) und Schleiereule (Tyto alba) sind seit Jahrhunderten avifaunistischer Bestandteil der Kulturräume Süddeutschlands, wobei deren jährliche Reproduktionsraten erheblichen Schwankungen unterliegen und bei beiden Arten nicht synchron verlaufen müssen. Diese Arbeit beruht auf Untersuchungen der Populationsentwicklung von Schleiereule und Turmfalke, die über zehn Jahre auf einer Probefläche in der Region Kraichgau (Südwestdeutschland) durchgeführt wurden. Unsere Daten belegen einen positiven Effekt der Schaffung neuer bzw. der Optimierung alter Brutplätze auf die Populationsentwicklung beider Vogelarten. 81 % der gebäudebrütenden Turmfalken und 99 % der Schleiereulen brüteten in künstlichen Nisthilfen. Die Brutpaardichte der Schleiereule schwankte von 1,4 Paaren/100 km2 bis 8,6 Paaren/100km2, die des Turmfalken von 6,6 Paaren/100 km2 bis 19,7 Paaren/100 km2. Im Mittel lag die Reproduktionsrate der Schleiereule während des Untersuchungszeitraumes bei 4,7 Jungvögeln pro erfolgreicher Erstbrut, die des Turmfalken ebenfalls bei 4,7 Jungvögeln pro erfolgreicher Brut. Für die Schleiereule zeigte sich aktuell im Vergleich zu früheren Perioden keine direkte Abhängigkeit der Brutpopulation von der Anzahl der Schneetage des vorausgegangenen Winters. Beim Turmfalken fiel eine ausgeprägte Jugenddispersion auf. Unsere Daten sprechen zudem für eine Brutplatzkonkurrenz zwischen Dohle, Turmfalke und Schleiereule im Siedlungsraum.For hundreds of years Kestrels and Barn Owls have populated settled areas in southern Germany. Reproduction rates show huge variations without any strict correlation between the two species. In the present study we investigate the population dynamics of Kestrels and Barn Owls over a 10 year period in the Kraichgau Area (Southwest Germany). Our data confirm a beneficial effect on species’ population development from creating and optimizing nesting sites. 81 % of Kestrels, bred on buildings, and 99 % of the Barn Owl population bred in special nesting boxes. The total number of Barn Owl breeding pairs varied from 1.4 pairs to 8.6 pairs/100 km2 and the number of Kestrel breeding pairs from 6.6 to 19.7 pairs/100 km2. The average reproduction rate was 4.7 fledglings per Barn Owl’s first annual breeding and 4.7 fledglings per Kestrel breeding pair during the period of the study. In contrast to former winter periods the present data failed to demonstrate a correlation between the number of days of snowfall in the previous winter and the number of Barn Owl breeding pairs. Kestrel fledglings showed a distinctive juvenile migration. Results furthermore demonstrated competition in occupying nesting sites between Jackdaws, Kestrels and Barn Owls in an urban habitat

More students with migration backgrounds at Universities of Teacher Education. Theoretical reflections and empirical insights on potential aspects and challenges from the perspectives of pre-service teachers and lecturers

Continuous migration processes are shaping the social reality in Switzerland and their education system, thus also the Universities of Teacher Education. However, the growing migration-related diversity in the student-population is not reflected among pre- and in-service teachers, since to date only few successful young adults with migration backgrounds decide to become teachers. While the migration-related diversity of the student-population in schools has been receiving a lot of attention for some time, up to date there are still hardly any meaningful studies about pre-service teachers with migration backgrounds in Switzerland. Due to the lack of empirical data so far, it can only be speculated what the potential aspects and challenges could be if the percentage of students with migration backgrounds at Universities of Teacher Education were to increase. In this context the research project DIVAL (= Diversity of pre-service teachers: focus migration / Diversität angehender Lehrkräfte: Fokus Migration) was conducted at the University of Teacher Education St.Gallen. It consists of two sub-studies: Based on an online survey the migration-related diversity of all students was assessed. During focused group discussions, students with and without migration backgrounds as well as lecturers where asked about the relevance they attribute to migration backgrounds during teacher education. (DIPF/Orig.)

Quantitative assessment of specific defects in roasted ground coffee via infrared-photoacoustic spectroscopy

Chemical analyses and sensory evaluation are the most applied methods for quality control of roasted and ground coffee (RG). However, faster alternatives would be highly valuable. Here, we applied infrared-photoacoustic spectroscopy (FTIR-PAS) on RG powder. Mixtures of specific defective beans were blended with healthy (defect-free) Coffea arabica and Coffea canephora bases in specific ratios, forming different classes of blends. Principal Component Analysis allowed predicting the amount/fraction and nature of the defects in blends while partial Least Squares Discriminant Analysis revealed similarities between blends (=samples). A successful predictive model was obtained using six classes of blends. The model could classify 100% of the samples into four classes. The specificities were higher than 0.9. Application of FTIR-PAS on RG coffee to characterize and classify blends has shown to be an accurate, easy, quick and "green" alternative to current methods

Age-Associated Disruption of Molecular Clock Expression in Skeletal Muscle of the Spontaneously Hypertensive Rat

It is well known that spontaneously hypertensive rats (SHR) develop muscle pathologies with hypertension and heart failure, though the mechanism remains poorly understood. Woon et al. (2007) linked the circadian clock gene Bmal1 to hypertension and metabolic dysfunction in the SHR. Building on these findings, we compared the expression pattern of several core-clock genes in the gastrocnemius muscle of aged SHR (80 weeks; overt heart failure) compared to aged-matched control WKY strain. Heart failure was associated with marked effects on the expression of Bmal1, Clock and Rora in addition to several non-circadian genes important in regulating skeletal muscle phenotype including Mck, Ttn and Mef2c. We next performed circadian time-course collections at a young age (8 weeks; pre-hypertensive) and adult age (22 weeks; hypertensive) to determine if clock gene expression was disrupted in gastrocnemius, heart and liver tissues prior to or after the rats became hypertensive. We found that hypertensive/hypertrophic SHR showed a dampening of peak Bmal1 and Rev-erb expression in the liver, and the clock-controlled gene Pgc1α in the gastrocnemius. In addition, the core-clock gene Clock and the muscle-specific, clock-controlled gene Myod1, no longer maintained a circadian pattern of expression in gastrocnemius from the hypertensive SHR. These findings provide a framework to suggest a mechanism whereby chronic heart failure leads to skeletal muscle pathologies; prolonged dysregulation of the molecular clock in skeletal muscle results in altered Clock, Pgc1α and Myod1 expression which in turn leads to the mis-regulation of target genes important for mechanical and metabolic function of skeletal muscle

Watt-class CMOS-compatible optical high power amplifier

High power amplifiers are critical components in optical systems spanning from long range optical sensing and optical communication systems to micromachining and medical surgery. Today, integrated photonics with its promise of large reductions in size, weight and cost cannot be used in these applications, due to the lack of on-chip high power amplifiers. Integrated devices severely lack in output power due to their small size which limits energy storage capacity. For the last two decades, large mode area (LMA) technology has played a disruptive role in fiber amplifiers enabling a dramatic increase of output power and energy by orders of magnitude. Thanks to the capability of LMA fiber to support significantly larger optical modes the energy storage and power handling capability has significantly increased. Therefore, an LMA device on an integrated platform can play a similar role in power and energy scaling of integrated devices. In this work, we demonstrate LMA waveguide-based CMOS compatible watt-class high power amplifiers with an on-chip output power reaching beyond ~ 1 W within a footprint of only ~ 4 mm2. The power achieved is comparable and even surpasses many fiber-based amplifiers. We believe this work has the potential to radically change the integrated photonics application landscape, allowing power levels previously unimaginable from an integrated device replacing much of today’s benchtop systems. Moreover, mass producibility, reduced size, weight and cost will enable yet unforeseen applications for laser technology

Caveolin-3 Null Mice Show a Loss of Caveolae, Changes in the Microdomain Distribution of the Dystrophin-Glycoprotein Complex, and T-tubule Abnormalities

Caveolin-3, a muscle-specific caveolin-related protein, is the principal structural protein of caveolae membrane domains in striated muscle cells. Recently, we identified a novel autosomal dominant form of limb-girdle muscular dystrophy (LGMD-1C) in humans that is due to mutations within the coding sequence of the human caveolin-3 gene (3p25). These LGMD-1C mutations lead to an approximately 95% reduction in caveolin-3 protein expression, i.e. a caveolin-3 deficiency. Here, we created a caveolin-3 null (CAV3 -/-) mouse model, using standard homologous recombination techniques, to mimic a caveolin-3 deficiency. We show that these mice lack caveolin-3 protein expression and sarcolemmal caveolae membranes. In addition, analysis of skeletal muscle tissue from these caveolin-3 null mice reveals: (i) mild myopathic changes; (ii) an exclusion of the dystrophin-glycoprotein complex from lipid raft domains; and (iii) abnormalities in the organization of the T-tubule system, with dilated and longitudinally oriented T-tubules. These results have clear mechanistic implications for understanding the pathogenesis of LGMD-1C at a molecular level

Grid Interoperation with ARC Middleware for the CMS Experiment

The Compact Muon Solenoid (CMS) is one of the general purpose experiments at the CERN Large Hadron Collider (LHC). CMS computing relies on different grid infrastructures to provide computational and storage resources. The major grid middleware stacks used for CMS computing are gLite, Open Science Grid (OSG) and ARC (Advanced Resource Connector). Helsinki Institute of Physics (HIP) hosts one of the Tier-2 centers for CMS computing. CMS Tier-2 centers operate software systems for data transfers (PhEDEx), Monte Carlo production (ProdAgent) and data analysis (CRAB). In order to provide the Tier-2 services for CMS, HIP uses tools and components from both ARC and gLite grid middleware stacks. Interoperation between grid systems is a challenging problem and HIP uses two different solutions to provide the needed services. The first solution is based on gLite-ARC grid level interoperability. This allows to use ARC resources in CMS without modifying the CMS application software. The second solution is based on developing specific ARC plugins in CMS software

Improving exercise capacity and quality of life using non-invasive heart failure treatments: evidence from clinical trials

Endpoints of large-scale trials in chronic heart failure have mostly been defined to evaluate treatments with regard to hospitalizations and mortality. However, patients with heart failure are also affected by very severe reductions in exercise capacity and quality of life. We aimed to evaluate the effects of heart failure treatments on these endpoints using available evidence from randomized trials. Interventions with evidence for improvements in exercise capacity include physical exercise, intravenous iron supplementation in patients with iron deficiency, and – with less certainty – testosterone in highly selected patients. Erythropoiesis-stimulating agents have been reported to improve exercise capacity in anaemic patients with heart failure. Sinus rhythm may have some advantage when compared with atrial fibrillation, particularly in patients undergoing pulmonary vein isolation. Studies assessing treatments for heart failure co-morbidities such as sleep-disordered breathing, diabetes mellitus, chronic kidney disease and depression have reported improvements of exercise capacity and quality of life; however, the available data are limited and not always consistent. The available evidence for positive effects of pharmacologic interventions using angiotensin-converting enzyme inhibitors, angiotensin receptor blockers, beta-blockers, and mineralocorticoid receptor antagonists on exercise capacity and quality of life is limited. Studies with ivabradine and with sacubitril/valsartan suggest beneficial effects at improving quality of life; however, the evidence base is limited in particular for exercise capacity. The data for heart failure with preserved ejection fraction are even less positive, only sacubitril/valsartan and spironolactone have shown some effectiveness at improving quality of life. In conclusion, the evidence for state-of-the-art heart failure treatments with regard to exercise capacity and quality of life is limited and appears not robust enough to permit recommendations for heart failure. The treatment of co-morbidities may be important for these patient-related outcomes. Additional studies on functional capacity and quality of life in heart failure are required