Empirical Analysis of Default Risk in Chinese Listed Commercial Banks

Abstract As the development of global finance, risks faced by commercial banks increases at the same time. The mismanagement of risks will lead to the financial crisis, especially for banks which are important parts in the whole society. Default risk, which is one of the main risks of banks, has...

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Main Author: Wang, Guo-Hua
Format: Dissertation (University of Nottingham only)
Language:English
Published: 2017
Subjects:
Online Access:https://eprints.nottingham.ac.uk/46253/
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author Wang, Guo-Hua
author_facet Wang, Guo-Hua
author_sort Wang, Guo-Hua
building Nottingham Research Data Repository
collection Online Access
description Abstract As the development of global finance, risks faced by commercial banks increases at the same time. The mismanagement of risks will lead to the financial crisis, especially for banks which are important parts in the whole society. Default risk, which is one of the main risks of banks, has been widely studied through different measurements. In this dissertation, the default risk of banks has been evaluated through Z-score and KMV model and the systematic and systemic features of default risk have been discussed based on 14 listed banks in Shanghai exchange. Additionally, the relationship between liquidity risk and default risk has been analysed. The results show that the default risk in banks have effect on the banking industry and the Shanghai exchange market. Therefore, the indicator of default risk in banks can be used to predict the fluctuation in banking industry and the whole market. Key words: default risk; systematic risk; systemic risk; liquidity risk
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institution University of Nottingham Malaysia Campus
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spelling nottingham-462532018-04-17T14:59:44Z https://eprints.nottingham.ac.uk/46253/ Empirical Analysis of Default Risk in Chinese Listed Commercial Banks Wang, Guo-Hua Abstract As the development of global finance, risks faced by commercial banks increases at the same time. The mismanagement of risks will lead to the financial crisis, especially for banks which are important parts in the whole society. Default risk, which is one of the main risks of banks, has been widely studied through different measurements. In this dissertation, the default risk of banks has been evaluated through Z-score and KMV model and the systematic and systemic features of default risk have been discussed based on 14 listed banks in Shanghai exchange. Additionally, the relationship between liquidity risk and default risk has been analysed. The results show that the default risk in banks have effect on the banking industry and the Shanghai exchange market. Therefore, the indicator of default risk in banks can be used to predict the fluctuation in banking industry and the whole market. Key words: default risk; systematic risk; systemic risk; liquidity risk 2017-09-14 Dissertation (University of Nottingham only) NonPeerReviewed application/pdf en https://eprints.nottingham.ac.uk/46253/1/dissertation%20WangGuohua.pdf Wang, Guo-Hua (2017) Empirical Analysis of Default Risk in Chinese Listed Commercial Banks. [Dissertation (University of Nottingham only)] default risk; systematic risk; systemic risk; liquidity risk
spellingShingle default risk; systematic risk; systemic risk; liquidity risk
Wang, Guo-Hua
Empirical Analysis of Default Risk in Chinese Listed Commercial Banks
title Empirical Analysis of Default Risk in Chinese Listed Commercial Banks
title_full Empirical Analysis of Default Risk in Chinese Listed Commercial Banks
title_fullStr Empirical Analysis of Default Risk in Chinese Listed Commercial Banks
title_full_unstemmed Empirical Analysis of Default Risk in Chinese Listed Commercial Banks
title_short Empirical Analysis of Default Risk in Chinese Listed Commercial Banks
title_sort empirical analysis of default risk in chinese listed commercial banks
topic default risk; systematic risk; systemic risk; liquidity risk
url https://eprints.nottingham.ac.uk/46253/