@techreport{Kleff2005Capital,
abstract = {In contrast to earlier field studies, we survey German public savings banks on their
management of capital. We find that the most important determinants of the savings
banks? target capital ratio are risk aversion, the desired credit growth and profitability.
Savings banks prefer to manage the level of capital rather than the level of riskweighted
assets in order to reach their target capital ratio. The most important
instruments to increase the level of capital are lowering costs and issuing subordinated
debt. We obtain strong evidence that issuing subordinated debt is a particularly
important instrument to increase capital for less capitalised savings banks.},
address = {Mannheim},
author = {Volker Kleff},
copyright = {http://www.econstor.eu/dspace/Nutzungsbedingungen},
keywords = {G21; 330; Capital; Savings Banks; Germany; Survey; Sparkasse; Bankbilanz; Bilanzstrukturmanagement; Sch\"{a}tzung; Deutschland},
language = {eng},
number = {05-63},
publisher = {Zentrum f\"{u}r Europ\"{a}ische Wirtschaftsforschung (ZEW)},
title = {Capital policy of German savings banks: a survey},
type = {ZEW Discussion Papers},
url = {http://hdl.handle.net/10419/24159},
year = {2005}
}
