Featured Events

International Conference “Banking and Economic Development”
December 6, 2018 - 2:00pm to December 7, 2018 - 6:00pm

The CBFR is pleased to announce that it will host the international conference “Banking and Economic Development” on December 6-7, 2018.

More information and the call for papers will be published soon.

Past Events

Financial Stability Workshop
May 7, 2018 - 9:00am to May 14, 2018 - 12:00pm


Dr. Wolf Wagner, a CBFR fellow, will give a Workshop at FGV-EBAPE on Financial Stability from May 7th to 14th, 2018. The workshop is part of the Finance Track of EBAPE's MSc/PhD program.

Finance Research Seminar: Klenio Barbosa
February 7, 2018 -
10:00am to 12:00pm
FGV/EBAPE - Rua Jornalista Orlando Dantas, 30 / Room 3

Finance Seminars, KLENIO BARBOSA, INSPER, Brazil.


This paper empirically investigates how the lack of competition in the credit market can hamper the effects of an increase in creditor protection on the interest rate and the spread of loans in the Brazilian credit market. Banking oligopoly pricing theory suggests that the effects of an increase in creditor protections may be limited or absent on interest rates in credit markets which lack competition. Brazil is a perfect testing ground to study the effect of an increase in the creditor protection because in early 2005 a new bankruptcy law was approved by the Brazilian Congress. That new legislation improved corporate creditor protection and the bankruptcy system’s efficiency. Using monthly data provided by the Central Bank of Brazil, which contains information on bank interest rates for corporate and consumer loans, volume of credit, market power indicators, and other important covariates, we find that the lack of competition hampers 27.5% of the potential reducing effect of the law in the interest rate of new corporate credit operations. If we consider the average market power over all credit lines (treated and control group), then the liming effect represents 295 basis points, or 40.1%. Our results show that an institutional reform in that increases creditors protection has a positive effect on credit condition for firms, but the competition structure of the market matters.

Finance Research Seminar: Ruy Monteiro Ribeiro
November 22, 2017 -
10:00am to 12:00pm
FGV/EBAPE - Rua Jornalista Orlando Dantas, 30 / Room 3

Finance Seminars, RUY MONTEIRO RIBEIRO, PUC-Rio, Brazil.

Title:Term Structure(s) of Equity Risk Premium

Using dividend and variance swap data simultaneously, we provide a series of novel facts on the term structure of equity risk premium. We also show the importance of another dimension of the term structure related to investment horizon and how the term structure changes over time. Moreover, we uncover new information on the level and variation of the term structure of the (physical) expectation of dividend growth. Among many facts, we show that: risk premium in increasing and concave on maturity; risk premium is also increasing and concave on investment horizon, but increases much faster than maturity; independently of maturity, most of the risk premium is associated with short-horizon risk premium; dividends are highly predictable once we account for time variation in the horizon term structure; and liquidity explains the high returns of dividend contracts and the term structure puzzle. Using both dimensions jointly highlights additional challenges to asset pricing models, but, unlike previous literature, we show that all these facts are consistent, for instance, with a long-run risk model with jump risks. 

Finance Research Seminar: Michael Weber
April 3, 2017 -
10:00am to 12:00pm
FGV/EBAPE - Praia de Botafogo, 190 / Room 537

Finance Seminars, Michael Weber, University of Chicago, EUA.

Title: The Long Shadow of Jewish Persecution on Financial Decisions

For centuries, Jews have been associated with financial services. We find that present-day households in German counties where Jewish persecution was higher in the Middle Ages and the Nazi period invest less in stocks, have lower savings in bank deposits, and are less likely to get a mortgage, but not to own a house. Current antisemitism, generalized trust, or supply-side forces do not appear to explain these correlations, which are consistent with a norm of distrust in finance, transmitted across generations. The forced migrations of the Ashkenazi communities across the German lands after the 11th century help assess the extent to which the effect of Jewish persecution on present-day financial decisions is causal.

Partner conference in Chile after the International Conference on Small Business Finance in Rio
December 12, 2016 - 12:00am

Santiago Finance Workshop, December 12-13, 2016

Call for Papers (link)

International Conference on Small Business Finance in Rio 2016
December 8, 2016 - 12:30pm to December 9, 2016 - 6:30pm
FGV, Praia de Botafogo 190, 22250-900 Rio de Janeiro, RJ, Brazil, Auditório Manoel Thompson Motta, 12th Floor
Finance Seminar: Allen N. Berger
December 7, 2016 -
10:00am to 12:00pm
FGV Ebape

Finance Seminars, Allen N. Berger, University of South Carolina, EUA.


Do Bank Bailouts Reduce or Increase Systemic Risk? The Effects of TARP on Financial System Stability


Theory suggests that bank bailouts may either reduce or increase systemic risk. This paper is the first to address this issue empirically, analyzing the U.S. Troubled Assets Relief Program (TARP). Difference-in-difference analysis suggests that TARP significantly reduced contributions to systemic risk, particularly for larger and safer banks located in better local economies. This occurred primarily through a capital cushion channel. Results are robust to additional tests, including accounting for potential endogeneity and selection bias. Findings yield policy conclusions about the wisdom of bailouts, which banks might be the best targets for future bailouts, and the form these bailouts might take.


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