EconPapers    
Economics at your fingertips  
 

Introduction

Andrada Bilan, Hans Degryse, Kuchulain O’Flynn () and Steven Ongena
Additional contact information
Kuchulain O’Flynn: University of Zurich

Chapter Chapter 1 in Banking and Financial Markets, 2019, pp 1-4 from Palgrave Macmillan

Abstract: Abstract The traditional role of a bank is to transfer funds from savers to investors, engaging in maturity transformation, screening for borrower risk, and monitoring for borrower effort in doing so. Until not so long ago, a traditional loan contract included as salient dimensions its amount, the interest rate, its expected credit risk, the required collateral, and the currency in which the loan was granted, all “wrapped” up in a singular way of the bank-firm engagement that occurred mainly through the loan officer. However, the scope of the modern banking industry today is much broader, offering a range of sophisticated financial products, a wider geography-including exposure to countries with various currencies, regulation, and monetary policy regimes-and an increased reliance on financial innovation and technology. This book offers a review of how new financial products and technologies have changed the traditional lending contract.

Keywords: Banks; Lending; Financial technology; Securitization; Global banking; Collateral; FinTech; Credit default swaps; Interest rate swaps; Foreign exchange (search for similar items in EconPapers)
Date: 2019
References: Add references at CitEc
Citations:

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:pal:pmschp:978-3-030-26844-2_1

Ordering information: This item can be ordered from
http://www.palgrave.com/9783030268442

DOI: 10.1007/978-3-030-26844-2_1

Access Statistics for this chapter

More chapters in Palgrave Macmillan Studies in Banking and Financial Institutions from Palgrave Macmillan
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().

 
Page updated 2025-03-31
Handle: RePEc:pal:pmschp:978-3-030-26844-2_1