Linkages of Financial Groups in the European Union: - download pdf or read online

By Ingrid Ulst

ISBN-10: 963732612X

ISBN-13: 9789637326127

Monetary companies has proven developments of elevated consolidation throughout varieties of monetary associations. This ebook makes a speciality of the conglomeration of banking and coverage actions between monetary associations of the 15 outdated participants of the ecu Union, and addresses the improvement and effect of conglomeration linkages among those fifteen and the 10 new member states.

Most of the massive teams combining banking and coverage actions teams one of the former member states of the ecu Union are frequently associated with the most important such associations within the new member states, having created the linkages usually via Merger & Acquisition actions; with better accessory at the banking region and lesser connections on coverage facet.

Financial conglomeration linkages among the EU-15 and the hot member states spotlight funding acceptance of the recent contributors, with the charm of recent markets that let the presence of extra individuals. either institution-specific and country-specific elements play function in conglomeration around the new member states.

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Additional info for Linkages of Financial Groups in the European Union: Financial Conglomeration Developments in the Old and New Member States

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5. int/comm/inter- nal_market/finances/ cross-sector issues 108 M. ” J. W. Goethe University, Institut für Bankrecht, Working Paper No. 94, 2001, pp. 21–22. Financial Conglomeration: Economic and Legal Aspect 35 volatility of the business that is merged into a financial institution, the higher the risk of internal contagion. In case of bancassurance the effect is worsened, when the problems in the insurance arm translate into incentives to “gamble” with insured banking deposits. In previous parts of this chapter I have discussed that conglomeration may reduce risk through diversification benefits.

1. Banking in the European Union: Importance and Insurance Linkages of Largest Banks The following part of the survey covers the banking sector in EU countries looking at the largest banks/banking groups defined according to their total assets. The five largest banks in each country are ranked according to their total assets; the statistics have been compiled based on annual figures as of the year ending in 2001. The data for individual banks/banking groups are presented on a consolidated basis, unless a bank is a stand-alone entity.

Governments sometimes facilitate consolidation in an effort to minimise the social costs associated with firm failures, they may also promote consolidation in an effort to create a national company that can compete in the global arena. Government policy is mainly related to the establishment and developments of favourable or less favourable regulation and policy decisions that have influence on cross-border mergers and financial consolidation. The most important fields of regulation are those related to accounting, competition issues, taxation and labour law.

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Linkages of Financial Groups in the European Union: Financial Conglomeration Developments in the Old and New Member States by Ingrid Ulst


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