http://www.bis.org/cbhub/list/author/author_1844/index.rss Research hub papers by author Liang Song en http://www.suomenpankki.fi/en/julkaisut/tutkimukset/keskustelualoitteet/Documents/BoF_DP_1216.pdf Bank of Finland Discussion Papers by Bill Francis - Iftekhar Hasan - Liang Song - Bernard Yeung What determines bank stock price synchronicity? Global evidence 2012-04-18T17:34:59Z ?This paper examines what institutional and bank-specific factors determine bank stock price synchronicity. Using data on 37 countries from 1996-2007, we find that bank stocks are more aligned with the whole market (1) during the financial crisis; (2) in countries that have more credit provided by banks; (3) in countries that do not have explicit depository insurance; and (4) in countries that have lower bank-level disclosure. The results hold for both emerging and developed economy subsamples. Furthermore, in emerging economies, bank stocks in countries with higher degree of state-owned bank are more synchronized with the whole market, similarly, in developed markets, lower banking freedom enhances bank stock price synchronicity. Finally, the effects of state ownership, protection of property rights, and bank size are all more pronounced when determining bank stock price synchronicity during the financial crisis period. What determines bank stock price synchronicity? Global evidence 2012-04-18T17:34:59Z Abstract http://www.suomenpankki.fi/en/julkaisut/tutkimukset/keskustelualoitteet/Pages/dp2012_16.aspx Full text http://www.suomenpankki.fi/en/julkaisut/tutkimukset/keskustelualoitteet/Documents/BoF_DP_1216.pdf Bernard Yeung Liang Song Bill Francis Iftekhar Hasan Bill Francis - Iftekhar Hasan - Liang Song - Bernard Yeung 2012-04-18 Bank of Finland Discussion Papers G12 G14 G15 G21 G38 N20 http://www.suomenpankki.fi/en/julkaisut/tutkimukset/keskustelualoitteet/Documents/BoF_DP_1212.pdf Bank of Finland Discussion Papers by Bill Francis - Iftekhar Hasan - Liang Song Are firm- and country-specific governance substitutes? Evidence from financial contracts in emerging markets 2012-04-12T17:34:59Z We investigate how borrowers' corporate governance influences bank loan contracting terms in emerging markets and how this relation varies across countries with different country-level governance. We find that borrowers with stronger corporate governance obtain favorable contracting terms with respect to loan amount, maturity, collateral requirements, and spread. Firm-level and country-level corporate governance are substitutes in writing and enforcing financial contracts. We also find that the distinctiveness of borrowers' characteristics affect the relation between firm-level corporate governance and loan contracting terms. Our findings are robust, irrespective of types of regression methods and specifications.? Are firm- and country-specific governance substitutes? Evidence from financial contracts in emerging markets 2012-04-12T17:34:59Z Abstract http://www.suomenpankki.fi/en/julkaisut/tutkimukset/keskustelualoitteet/Pages/dp2012_12.aspx Full text http://www.suomenpankki.fi/en/julkaisut/tutkimukset/keskustelualoitteet/Documents/BoF_DP_1212.pdf Liang Song Bill Francis Iftekhar Hasan Bill Francis - Iftekhar Hasan - Liang Song 2012-04-12 Bank of Finland Discussion Papers G20 G30 G31 G34 G38 http://www.ecb.europa.eu/pub/pdf/scpwps/ecbwp1201.pdf European Central Bank Working papers by Iftekhar Hasan, Heiko Schmiedel, Liang Song Growth strategies and value creation: what works best for stock exchanges?, 2010-06-25T12:43:59Z In recent years, demutualized stock exchanges have been increasingly engaging in M&A and alliance activities. To examine the effect of these growth strategies on exchange shareholders’ value creation, we focus on 14 public stock exchanges and investigate their short-run share price responses to the formation of 110 M&As and alliances all over the world spanning the period 2000-2008. Our findings show that the average stock price responses for M&As and alliances are positive. M&As create more value than alliances. For alliances, joint ventures generate more value than non-equity alliances. More value accrues when the integration is horizontal (cross-border) than when it is vertical (domestic). Additionally, there is evidence of learning-by-doing effects in stock exchange integration activities. Finally, we find that the better the shareholder protection, accounting standards and capital market development in the partner exchange’s country, the higher the merger and alliance premium for our sample exchange. These patterns are consistent when we examine the exchanges’ long-run performance. Growth strategies and value creation: what works best for stock exchanges?, 2010-06-25T12:43:59Z ECB Full text http://www.ecb.europa.eu/pub/pdf/scpwps/ecbwp1201.pdf Iftekhar Hasan Liang Song Heiko Schmiedel Iftekhar Hasan, Heiko Schmiedel, Liang Song 2010-06-04 European Central Bank Working papers D23 G32 L22 http://www.bof.fi/NR/rdonlyres/6F26067F-B438-41F0-87E2-5D686E361316/0/1002netti.pdf Bank of Finland Discussion Papers by Iftekhar Hasan – Heiko Schmiedel – Liang Song Growth strategies and value creation: what works best for stock exchanges? 2010-02-19T12:41:00Z In recent years, demutualized stock exchanges have increasingly engaged in M&A and alliance activities. To shed light on this topic, we investigate short-run share price responses to the formation of 110 stock exchange M&As and alliances in the period 2000–2008. Our ?ndings show that the average stock-price responses to a stock-exchange M&A or alliance is positive. Stock exchange M&As create more value than alliances. For alliances, joint ventures generate more value than non-equity alliances. More value is created when the integration is horizontal and cross-border than when it is vertical and domestic. Evidence is also found for learning-by-doing effects in stock exchange integration activities. Finally, we find that the better the shareholder protection, accounting standards and degree of capital market development in the partnering exchange’s country, the higher the merger and alliance premium. These patterns also obtain when we examine long-run performance measures such as the three-year buy-and-hold abnormal return, change in ROA (ROE), change in liquidity, and change in market capitalization of IPO between years t-2 and t+2. Growth strategies and value creation: what works best for stock exchanges? 2010-02-19T12:41:00Z Abstract http://www.bof.fi/en/julkaisut/tutkimukset/keskustelualoitteet/2010/dp2010_02.htm Full text http://www.bof.fi/NR/rdonlyres/6F26067F-B438-41F0-87E2-5D686E361316/0/1002netti.pdf Iftekhar Hasan Liang Song Heiko Schmiedel Iftekhar Hasan – Heiko Schmiedel – Liang Song 2010-01-11 Bank of Finland Discussion Papers http://www.bof.fi/NR/rdonlyres/481E09E0-A9A5-48BF-83DD-F2DB073BCBD1/0/1003netti.pdf Bank of Finland Discussion Papers by Iftekhar Hasan – Heiko Schmiedel – Liang Song Return from retail banking and payments 2010-02-19T12:41:00Z The European banking industry joined forces to achieve a fully integrated market for retail payment services in the euro area: the Single Euro Payments Area (SEPA). Against this background, the present paper examines the fundamental relationship between retail payment business and overall bank performance. Using data from across 27 European markets over the period 2000–2007, we analyse whether the provisions of retail payment services are reflected in improved bank performance, using accounting ratios and efficiency measures. The results confirm that banks perform better in countries where the retail payment service markets are more highly developed, and the relationship is stronger in countries with a relatively high adoption of retail payment transaction technologies. Retail payment transaction technology can itself also improve bank performance, and statistical evidence shows that heterogeneity in retail payment instruments is associated with enhanced bank performance. Similarly, a higher usage of electronic retail payment instruments seems to stimulate banking business. We also show that retail payment services have a more significant impact on savings and cooperative bank performance, although they do also have a positive influence on the performance of commercial banks. Additionally, our findings reveal that the impact of retail services on bank performance is dominated by fee income. Finally, an effective payment service market is found to be associated with higher bank stability. Our findings are robust to different regression specifications. The results may also be informative for the industry when reconsidering its business models in the light of current financial market developments. Return from retail banking and payments 2010-02-19T12:41:00Z Abstract http://www.bof.fi/en/julkaisut/tutkimukset/keskustelualoitteet/2010/dp2010_03.htm Full text http://www.bof.fi/NR/rdonlyres/481E09E0-A9A5-48BF-83DD-F2DB073BCBD1/0/1003netti.pdf Iftekhar Hasan Liang Song Heiko Schmiedel Iftekhar Hasan – Heiko Schmiedel – Liang Song 2010-01-20 Bank of Finland Discussion Papers http://www.ecb.europa.eu/pub/pdf/scpwps/ecbwp1135.pdf European Central Bank Working papers by Iftekhar Hasan, Heiko Schmiedel, Liang Song, Return to retail banking and payments, 2010-01-12T17:40:59Z (JEL: G21, G28) The European banking industry joined forces to achieve a fully integrated market for retail payment services in the euro area: the Single Euro Payments Area (SEPA). Against this background, the present paper examines the fundamental relationship between retail payment business and overall bank performance. Using data from across 27 European markets over the period 2000-07, we analyse whether the provisions of retail payment services are reflected in improved bank performance, using accounting ratios and efficiency measures. The results confirm that the performance of banks in countries with more developed retail payment service markets is better. This relationship is stronger in countries with a relatively high adoption of retail payment transaction technologies. Retail payment transaction technology itself can also improve bank performance, and evidence shows that heterogeneity in retail payment instruments is associated with enhanced bank performance. Similarly, a higher usage of electronic retail payment instruments seems to stimulate banking business. We also show that retail payment services have a more significant impact on savings and cooperative bank performance although they have a positive influence on the performance of commercial banks. Additionally, findings reveal that impact of retail services on bank performance is dominated by fee income. Finally, an effective payment service market is found to be associated with higher bank stability. Our findings are robust to different regression specifications. The results may also be informative for the industry when reconsidering its business models in the light of current financial market developments. Return to retail banking and payments, 2010-01-12T17:40:59Z ECB Full text http://www.ecb.europa.eu/pub/pdf/scpwps/ecbwp1135.pdf Iftekhar Hasan Liang Song Heiko Schmiedel Iftekhar Hasan, Heiko Schmiedel, Liang Song, 2009-12-30 European Central Bank Working papers