The profitability from Foreign Exchange Trading Associated with Bank Acquisitions: An Empirical

Ramcharran, Harri
June 2001
American Business Review;Jun2001, Vol. 19 Issue 2, p13
Academic Journal
Develops a statistical model to estimate the impact of acquisition on the foreign exchange trading income of seven United States' banks. Reasons for the rapid rise in foreign exchange trading in the 1990s; Large banks' increased emphasis on foreign exchange trading; Factors that could determine foreign exchange trading income.


Related Articles

  • Will Dollar Recovery Spur Foreign Buyers to Action? Rieker, Matthias; Sundaramoorthy, Geeta // American Banker;5/10/2004, Vol. 169 Issue 89, p7 

    In the current round of bank consolidation, the low value of the dollar has been expected to attract European and other foreign buyers. It's not so much the dollar as the fragmented U.S. banking market and the stronger-growth economies of the Midwest, the South, and the West relative to those in...

  • FX kings.  // Futures: News, Analysis & Strategies for Futures, Options & Deri;Mar1994, Vol. 23 Issue 3, p20 

    Reports on the foreign exchange trading costs of banks in the United States. Disparities in costs; Importance of cooperation among banks.

  • Foreign exchange today.  // Banking;Jul76, Vol. 68 Issue 7, p28 

    Describes the pattern followed by foreign exchange markets in the 1970s. Challenge faced by banks in the U.S. in counseling corporate clients; Banks in the U.S. that have formed foreign exchange advisory units to consult with customers; Advice offered by the foreign exchange units.

  • Bank revenues set records in foreign currency trading. Elstein, Aaron // American Banker;6/19/1997, Vol. 162 Issue 117, p24 

    Reports on the foreign currency activity of banks in the United States in the first quarter of 1997. Increase in trading revenues for banks and brokerages; Volatility of Japanese yen and German mark; Decrease of bond yield in different countries; Proliferation of exchange derivatives bought by...

  • Obituary for foreign exchange proves premature amid volatility. Kraus, James R. // American Banker;8/7/1997, Vol. 162 Issue 151, p1 

    Notes an increase in revenues generated by banks' foreign exchange businesses during the second quarter of 1997. Comparison with the same period in 1996; Impact of consolidations and expanding global asset management on foreign exchange businesses; Growing demand for foreign exchange hedging...

  • `Hot money' heightens international bankers' settlement risk fears. Tracey, Brian // American Banker;9/25/1995, Vol. 160 Issue 184, p23 

    Reports on factors forcing banks and regulators to assess how to reduce risk in their payment systems better. Flow of hot money around the world affecting foreign exchange volumes; Increase in globalization of financial markets; Risks in settling currency transactions for a single day's trade;...

  • CLS Bank Extends Testing, Rollout Delayed to 2002. Sandman, John // Securities Industry News;8/13/2001, Vol. 13 Issue 32, p6 

    Reports the delay of the foreign exchange settlement system by CLS Bank by the CLS Services in the United States. Expectations on the final schedule; Details on the production process of a live system; Confirmations on the company's ability to settle real nonscripted instructions between members.

  • Big banks' new forex market: Regionals. Kraus, James R. // American Banker;9/27/1994, Vol. 159 Issue 186, p5 

    Reports on American banks' marketing of foreign exchange to regional banks across the country. Traditional foreign exchange trading process; Impact of regional trading on specialized foreign exchange dealers; Strategies of banks to boost regional trading business.

  • The Sensitivity of Foreign Exchange Trading Income to Exchange Rate Changes: A Study of Large... Ramcharran, Harri // Multinational Business Review (St. Louis University);Spring2000, Vol. 8 Issue 1, p39 

    The recent growth in income from foreign exchange trading and the volatility of exchange rates have raised concern about the degree of sensitivity of banks' trading profit to currency changes. Using two different models with semiannual data from 1980-94 the empirical (regression) results...


Read the Article


Sorry, but this item is not currently available from your library.

Try another library?
Sign out of this library

Other Topics