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Estimation of Securities Positioning Efficiency in Commercial Banks

Estimation of Securities Positioning Efficiency in Commercial Banks
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Author(s): Natalia Frolova (National Research University Higher School of Economics, Russia)and Evgeniy Frolov (National Research University Higher School of Economics, Russia)
Copyright: 2021
Pages: 22
Source title: Recent Applications of Financial Risk Modelling and Portfolio Management
Source Author(s)/Editor(s): Tihana Škrinjarić (University of Zagreb, Croatia), Mirjana Čižmešija (University of Zagreb, Croatia)and Bryan Christiansen (Global Training Group, Ltd, UK)
DOI: 10.4018/978-1-7998-5083-0.ch012

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Abstract

The given research is devoted to the acute issue of efficiency of valuable assets positioning carried out by commercial banks. The chapter is aimed at examining factors that affect the efficiency of securities placement by commercial banks, as well as an econometric analysis based on the least squares method of the significance of the selected factors and their impact on the efficiency indicator. While researching this issue, the phenomenon of adaptability, which means the higher the price set, is in comparison with the medium price scale, the higher the underpricing at setting with corresponding other equal terms was singled out The methods of critical literature review, statistical analysis, and econometric model creation have been used to justify it. Moreover, the research resulted in model creation, which characterizes the state of a definite commercial bank to be ready for emission of assets by means of initial public offering.

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