Transnational banking supervision and resilience: the SSM case
In this letter we assess the impact of adopting a transnational supervisor on the resilience of large and complex banks, exploring the establishment of the Single Supervisory Mechanism (SSM) in 2014. Using a differences-in-differences approach, we compare the performance of SSM banks vis-à-vis other...
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| Other Authors: | , |
| Format: | workingPaper |
| Language: | eng |
| Published: |
2021
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| Subjects: | |
| Online Access: | http://hdl.handle.net/10400.14/36142 |
| Country: | Portugal |
| Oai: | oai:repositorio.ucp.pt:10400.14/36142 |
| Summary: | In this letter we assess the impact of adopting a transnational supervisor on the resilience of large and complex banks, exploring the establishment of the Single Supervisory Mechanism (SSM) in 2014. Using a differences-in-differences approach, we compare the performance of SSM banks vis-à-vis other banks with a similar size and complexity. Our results suggest that the adoption of a transnational supervisor can improve the resilience of large and complex banks, particularly for those operating in countries with larger banking sectors, higher market concentration and higher supervisory discretion. |
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