Front Matter
Author:
Signe Krogstrup
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Cédric Tille https://isni.org/isni/0000000404811396 International Monetary Fund

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Front Matter Page

Research Department

Contents

  • 1. Introduction

  • 2. Related literature

  • 3. A model of wholesale bank funding

    • 3.1 Main building blocks

    • 3.2 Solution of the model

  • 4. The Data and Stylized Facts

    • 4.1 Bank Balance Sheet Data

    • 4.2 Foreign Currency Wholesale Funding

    • 4.3 Risk Factors

    • 4.4 Net Foreign Currency Exposure

  • 5. Results

    • 5.1 Full sample

    • 5.2 Euro area vs. other European countries

    • 5.3 Alternative global factor measures

  • 6 Conclusion

  • References

  • Appendixs

  • A. Theoretical model

  • B. Data

  • C. Adjusting bank positions for exchange rate valuation effects

  • D. Appendix Figures

  • E. Appendix tables

  • Figures

  • 1. The bank’s balance sheet structure

  • 2. Foreign Currency Wholesale Funding

  • 3. gbdl and the VIX

  • 4. Net FX Exposure and Global Factors

  • 5. Net foreign currency and domestic currency wholesale funding inflows

  • 6. Net foreign currency and domestic currency wholesale funding inflows

  • 7. Net foreign currency and domestic currency wholesale funding inflows

  • 8. Net foreign currency exposure.

  • 9. Net foreign currency exposure.

  • 10. Net foreign currency exposure.

  • Tables

  • 1. Data and descriptive statistics

  • 2. Main regression for the full set of countries

  • 3. Main regression for euro and non-euro samples separately

  • 4. Alternative global factors

  • 5. Estimates of currency weights in non-Swiss franc FX bank positions

  • 6. Robustness to country specific cip and uip parameter estimates

  • 7. Robustness to inclusion of additional controls

  • 8. Regression for total cross border flows denominated in domestic currency

  • 9. Regression using EUR as foreign currency for non-euro countries

  • 10. Regression using EUR as foreign currency for non-euro countries

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Foreign Currency Bank Funding and Global Factors
Author:
Signe Krogstrup
and
Cédric Tille