Title: Market-driven securitization
Authors: Eleonora Muzzupappa - King\'s College London (United Kingdom) [presenting]
Abstract: How, and how much, does the stock market's performance affect banks' securitization activity? The analysis of a panel of EU and US banks shows that the former shapes the latter both directly and by interacting with some balance-sheet items. We find that the impact of the stock market performance upon the banks' securitization, the channels with which it interacts with the balance sheet items and the sign that these impacts take depend upon the market discipline, that shapes both the banks' business model of securitization, and the condition of the financial market.