Capital Distributions in the Banking Industry

Monica BANYİ; Susan PORTER; Susan WİLLİAMS

Article Details

Capital Distributions in the Banking Industry

Authors:

Monica BANYİ | Susan PORTER | Susan WİLLİAMS

Publisher:

PressAcademia

Journal:

Journal of Business Economics and Finance 2014 Vol.3 Issue 3, pp.371-397

Document Type:

Article

Publication Date:

8/2014

Document Language:

Turkish

Document ID (Org No.):

2000738072

Frequency:

Quarterly

eISSN:

2146-7943

Abstract:

 

As the 2008 banking disaster loomed banks increased their dividends and stock repurchase distributions to common shareholders dramatically. This unique time period provides a natural experimental setting to examine financial institutions' capital management strategies during periods of macroeconomic change. As the crisis loomed, we find that U.S. banks did not conserve cash but returned capital to investors at the same pace that they earned capital from operations. We also find that U.S. firms that accepted funds from the Capital Purchase Program (CPP) relative to nonCPP firms, returned a higher proportion of their available capital to shareholders in the periods leading up to the financial crisis.

Article Details

Capital Distributions in the Banking Industry

Authors: Monica BANYİ | Susan PORTER | Susan WİLLİAMS

Publisher: PressAcademia

Journal: Journal of Business Economics and Finance 2014 Vol.3 Issue 3, pp.371-397

Document Type: Article

Publication Date: 8/2014

Document Language: Turkish

Document ID (Org No.): 2000738072

Frequency: Quarterly

eISSN: 2146-7943

Issues

Authors:

Monica BANYİ | Susan PORTER | Susan WİLLİAMS

Publisher:

PressAcademia

Journal:

Journal of Business Economics and Finance 2014 Vol.3 Issue 3, pp.371-397

Document Type:

Article

Publication Date:

8/2014

Document Language:

Turkish

Document ID (Org No.):

2000738072

Frequency:

Quarterly

eISSN:

2146-7943