Syftet med denna studie är att undersöka sambandet mellan utvalda interna och externa lönsamhetsfaktorer och lönsamheten för svenska bankaktiebolag under perioden 2015-2022. Vidare är studiens syfte att undersöka bankens lönsamhet påverkad av Covid-19-pandemin. Resultaten visar att de interna lönsamhetsfaktorerna hade förväntat samband med lönsamheten, förutom kreditrisken. Bankstorlekens effekt var positiv, kapitalstrukturen hade tvådelat resultat och likviditetsrisken var negativ. Kreditrisken hade däremot ett positivt samband. De externa visade dock inga betydande samband med lönsamheten. Dessutom tyder resultaten på att svenska banker har hanterat Covid-19-pandemins effekter relativt väl, med endast en måttlig minskning av ROAA och en ökning av ROAE under perioden 2020-2022.

The problem of the present study is twofold (1) analyze the impacts of institutions and private property rights on the banking industry, and (2) the effects of property rights, contracting rights and intellectual property rights concurrent to privatization of state owned enterprises on a wide range of industries. First, it uses a sample of 37 countries to assess the effects privatization on industry growth of output, value added and establishments with regards to property rights institutions, using 3SLS technique. Consistent with the law and finance view, our results show that privatization works better in settings with better contracting, patents, and IPRs laws to foster industry growth. The results suggest that least developed countries can accelerate the growth of their industrial sector by structurally bettering their legal institutions to benefit from their privatization programs. There is strong evidence of structural unemployment in sectors that are more capital intensive; privatization has a crowding out effect channeled through financial development. The results have broad implications vis-à-vis policy choices for institutional reforms specifically in terms of control of corruption, enhancing property rights, contracting rights, and IRPs protection for privatization to bear fruits. Second, this study assumes that banks in countries with infective institutions operate in a highly risky environment, which is reflected in the interest rates spread, loan quality, and net interest margin. It investigates the relationships between banks and institutions using seemingly unrelated regressions and data from 79 countries. It shows that institutional improvements abate inefficiencies in the banking sector, reduce obstacles to external finance, and improve the quality of bank loan portfolios. Specifically, had a country in the 25th percentile of the institutional quality index, depth of credit information, and the spread improved its value to the mean sample of these variables, banks in that country would have had an annual decrease of 2.24% in net interest margin, 1.57% in unpaid loans, and 0.822 basis points in the spread. Other institutions including private and public registries are effective in improving access to external finance. Importantly, information on borrowers past loan repayment patterns significantly decreases the spreads only when controlled for predated institutional quality. This finding highlights the significance of institution-building especially in countries where sudden power shifts result into pendular swings in public policies. Third, using three independent samples to investigate the institutional factors affecting the performance of the banking sector around the world, this study finds that financial effects of three sets of institutions including private creditors’ right, property rights, and institutional quality on bank performance are strong. It uses SEM technique to show that better quality of institutions is negatively related to bank profitability while private creditors’ right and property rights institutions are positively related to bank profitability.

Bank profitability is one of the key inputs for macroprudential surveillance. Although we may find extensive empirical literature analyzing banks' performance, there is to our knowledge no study examining whole banking sectors. This thesis contributes to the existing research twofold. Firstly, we develop a banks' income model that considers banking sectors as a whole, using a sample of 40 countries in the period of 1997 to 2011. Secondly, we implement this model to two different restrictions of our data sample testing the model's applicability. We explore three hypotheses. Firstly, we test whether macroeconomic, industry-specific and bank-specific determinants are significant drivers of bank profitability. The final banks' income model is estimated via a dynamic GMM specification, consisting of proxies for the level of economic development, capitalization, interest-earning activities, credit quality and two lags of profitability capturing its persistency. The hypothesis is rejected since we do not find evidence of a significant industry-specific indicator. The second and third hypotheses restrict our sample to a time period before the financial crisis and banking sectors comprising only commercial banks, respectively. We conclude that the model is robust with regards to the chosen time period but...

The thesis assesses bank performance from two aspects: growth sustainability and the externality impact on the growth of non-financial industries. With regard to sustainability, the study considers two issues. One is financial performance with a focus on understanding what determines profitability and stability, particularly the role of market structure in generating profits. The second aspect is that of exploring what drives bank growth. Do banks grow through a competitive process or a noncompetitive one? In the context of externality, the thesis investigates whether bank competition and stability contribute to the growth of non-financial industries. The thesis starts by investigating the effects of market structure on profitability and stability using the sample data of 1929 banks from 40 countries including both emerging and advanced economies over 1999-2008. It attempts to examine which school of theories provide more explanatory power to profitability and stability in banks: the traditional structure-conduct-performance (SCP) or relative-market-power (RMP) hypotheses. The results show that a greater market share leads to higher bank profitability in favour of the RMP theory evidenced in advanced economies; however interestingly there is no evidence in support of these theories in emerging economies. Furthermore, the RMP effect appears more sustainable when compared with the SCP. This suggests that a more concentrated banking system may be more vulnerable to financial stability. Regarding the second aspect of banking sector performance, we look at an issue of competition by employing data from around 5850 banks across 49 economies during 2001-2010. We employ different industrial economics theories to estimate the degree of bank competition. The results show that bank competition varies across countries in terms of competition intensity and process. Some banks compete more intensity for efficiency and some compete less. Interestingly, all indicators show that emerging banking markets are less competitive than their counterparts in advanced economies. Furthermore, the thesis explores whether competition and stability in the banking sector can affect the growth and market structure of nonfinancial industries and hence economic growth. Empirical evidence from 23 industries for 48 emerging and advanced economies shows robustly that a more vigorously competitive and thus efficient banking sector allows financially dependent industries to grow faster through supporting small firms and new entrants that disconcentrate market structure. Policy implication is clear: competition, rather than market structure, is what we need for restructuring our banks that can help economic growth.

This thesis selects data from the financial annual report of 15 different kinds of commercial banks in China from 2016 to 2019. Meanwhile, the bank's return on total assets (ROA) and non-interest income ratio (NIIR) are considered as dependent variables and other variables are considered as the independent variables. The aim of this thesis is to examine the effect of third-party payment developments on the profitability of commercial banks and whether the effect is different due to different types of banks. At the end of the thesis, suggestions are proposed for banks to withstand risks and improve supervision. JEL Classification F12 Keywords third-party payment , commercial bank profitability, bank supervision , regression Title The impact of third-party payment on the profitability of commercial banks.

This article explores the influence of Chinese third-party payment transaction volume on the profitability of Chinese 15 commercial banks. The article starts from the operating model of third-party payment , and then builds four corresponding models from the four dimensions of deposits, loans, non-interest income, and return on assets to test the impact of third-party payment on the profitability of commercial banks. The article concludes with conclusion and recommendations for commercial banks to mitigate risks, supervise third-party payment platforms, and collaborate with third-party payment platforms. JEL Classification F12 Keywords third-party payment , commercial bank profitability, bank supervision , regression Title The impact of third-party payment on the profitability of Chinese commercial banks.

Purpose: The purpose of this study is to describe and explain the relation of changes in capital requirements on the profitability of Swedish banks. Method: A mixed model approach is used. The quantitative approach is con-ducted through the collection and analysis of statistics from Swe-dish banks and financial institutions. The qualitative research ap-proach is used to obtain further insights into the Swedish banking system and how banks are managing capital requirements. This is conducted through interviews with respondents from a large bank, a niche bank, and the Riksbank. Analysis: The analysis is made on yearly data from 1999 to 2015. Return on equity and net interest margin are individually used as dependent variables. The independent variables are various capital ratios which are defined by the Basel framework. The results from the quantitative analysis are in line with the findings from the qualita-tive interviews. Conclusion: On one hand, capital requirement ratios seem to have a negative and statistically significant correlation with the Return on Equity for both large banks and niche banks. On the other hand, capital re-quirement ratios seem to have a positive and statistically significant correlation with the Net Interest Margin for niche banks.

These three studies on the effect of national culture on banking aim at advancing knowledge and understanding of bank risk-taking, deposits and profitability by adding culture to their determining factors. Banking is a highly regulated industry, and one would expect informal institutions such as national culture not to influence management decisions. However, it seems that bank managers but also bank customers are susceptible to cultural biases making their influence on risk taking, deposit and profitability levels statistically and economically significant. In the first study, I find that national culture is an important bank-risk determinant. Specifically, I find a positive (negative) association between the cultural values of individualism and hierarchy (trust) and domestic bank risk-taking. This relation weakened during the recent financial crisis and does not hold for global banks, regardless of the period under investigation. In the second study, I report a positive association between trust and deposits which holds for domestic as well as global banks, supporting the popular view that banking is based on trust. Motivated by two relatively new regulations (Net Stability Funding Ratio and Liquidity Coverage Ratio), enforced to safeguard stable liquidity, I use interaction effects to find that high deposit volatility mitigates the positive impact of trust on deposit levels. In the third study, I identify national culture as an important determinant of bank profitability. Looking separately into global and domestic banks, the former are less prone to cultural influences compared to the latter. Furthermore, domestic banks with foreign ownership/management are less susceptible to cultural biases compared to domestic banks with local ownership/management. Finally, banks operating in conservative, hierarchical societies are expected to face more challenges with fintech disturbance, compared to banks operating in egalitarian societies. My results are statistically and economically significant and robust to endogeneity tests mitigating reverse causality and confounding effect concerns.

This thesis analyzes the bank-specific, industry-specific and macroeconomic determinants of bank profitability (ROA) in 31 OECD Countries between 2000 and 2009 using a panel data. Each country

Syfte: Att undersöka svenska renodlade Internetbanker - “PPI-banker”, och utefter deras strategi studera deras lönsamhet samt om de utgör risker för den finansiella stabiliteten. Teori:  Tidigare forskning kring PPI-banker har påvisat varierande resultat och fokus har skiftat från PPI-bankernas prestation till deras påverkan på den finansiella stabiliteten. Det teoretiska perspektivet vidgas med traditionella teorier kring bankers strategier och risker. Riskerna som behandlas är främst likviditetsrisk samt risker för stabiliteten i det finansiella systemet. Metod:  Studien har genom blandad strategi, med kvantitativ metod för datainsamling och en kvalitativ analys studerat svenska PPI-banker. PPI-bankerna har jämförts mellan varandra men även som grupp mot de fyra svenska storbankerna för att studera strategi och prestation på marknaden. Med hjälp av teori gällande strategier, traditionell bankteori och tidigare forskning inom PPI-banker har en jämförande studie med en tvärsnittsdesign genomförts. Empiri:  Resultatet visade att de svenska PPI-bankerna var lönsammare än de svenska storbankerna mellan år 2007 och 2014 men att PPI-bankerna uppvisade stora skillnader sinsemellan sett till deras strategier. Slutsats: PPI-bankerna tar kapital från storbankerna, men det beror inte på att de erbjuder en mer förmånlig ränta än storbankerna. De investerar inte i riskfyllda investeringar då vissa av PPI-bankerna i stället bedriver företagsfinansiering genom bland annat leasing och factoring. Det konstaterades även att PPI-strategin inte ansågs lämplig för de svenska Internetbankerna. / In recent years Pure Play Internet-banking as a strategy has become increasingly competitive towards traditional benchmark banks. At the same time a Swedish bank released a report where they were concerned about the traditional benchmark banks in Sweden losing capital on the deposits market. The problem is that PPI-banks with their strategy - lower costs and favorable interest rates - can grow rapidly on the deposits market. This results in liquidity surpluses which have to be invested to cover the increased capital cost from increased deposits. At first, this essay aims to study if PPI-strategy leads to better performance than traditional banks with physical branches, seen to ROE and ROA. This essay will also study if the Pure Play Internet-banks (PPI-banks) in Sweden are increasing their market shares on the deposits market and if their favorable interest rates are the cause. At last, this essay will discuss what risks the PPI-banks can pose to the Sweden’s financial stability. The results shows that PPI-banks in Sweden did increase their market shares on the deposit market between 2007 and 2013, but it was not because of their favorable interest rates as proposed by researchers within the field (DeYoung 2005; Arnold & Van Ewijk 2011). Further they performed better than benchmark banks, seen to ROE and ROA, but there were some differences in the strategies between the banks. This study concludes that PPI-banks in Sweden did not perform better because of the PPI-strategy but because of their different strategies and investing activities.