USF St. Petersburg campus Faculty Publications

Derivatives activity by U.S. banks: Impact on risk and profitability.

SelectedWorks Author Profiles:

Sridhar Sundaram

Document Type

Article

Publication Date

2009

ISSN

0972-5784

Abstract

The primary objective of this study is to analyze and assess the impact of derivatives activity by U.S. Banks on their corresponding profitability and risk. Using quarterly data for the period of 1999 to 2006, our analysis focused on the twenty-five largest commercial U.S. banks. Our results indicate a positive contribution to trading revenue; however, this increase does not lead to an increase in profitability. Further, as derivative use increased, the risk of the banks in our sample increased.

Comments

Citation only. Full-text article is available through licensed access provided by the publisher. Members of the USF System may access the full-text of the article through the authenticated link provided.

Language

en_US

Publisher

Serials Publications Pvt. Ltd.

Creative Commons License

Creative Commons License
This work is licensed under a Creative Commons Attribution-Noncommercial-No Derivative Works 4.0 License.

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