🤗 So proud of my #mcf class of #2023!
Marco Piludu, Peiting Wang, Ersagun Sayin, from the SDA Bocconi #Master in #Corporate #Finance, #class of #2023, accepted to develop a study proposed by European Investment Bank (EIB) on the analysis of the interest rate spikes in FY 2022 and 2023, and on the related impact on the #European #Banking #System.
➡ The focus of the analysis has been set on the 38 most relevant #financial #institutions in the #Euro #Area. Specifically, the perimeter has been agreed to include the biggest financial institutions in the top 5 European economies by GDP (i.e., Germany, France, Italy , Spain , and the Netherlands). The #value of aggregated #assets under analysis is ca. 21 trillion EUR. This corresponds to almost the entirety (ca. 97%) of the #total #banking #assets available in the countries of scope, and ca. 71% of the total assets available in EU.
🏦 The interest rate spike was significant (+4%) in the short time period analyzed. This has generally positively impacted banks’ P&L statements. On the other hand, the balance sheet situation in the cluster under focus shows a mostly negative assessment. However, #European #Financial #Institutions are strongly regulated at all levels and the actual flight risk, or bank run , is quite minimized. As the current situation is, with inflation numbers going down in the whole Euro area, the expectations around further ECB spikes in the short term are bearish. Considering that the status quo for the European banking system is incredibly solid, and profitable, no catastrophic scenario is expected.
🔝 The study was very appreciated by #EIB and our #mcf #graduates have been invited in the Luxembourg headquarter of #EIB to present more in details their analysis and to evaluate the opportunity to further elaborate and publish their results!
🙏 My big gratitude to my students, to Fulceri Bruni Roccia, Guido Bichisao, and Stefania Carraro who promoted the idea among our students, to Florence Biro, Milena Stevanovic' and #Cristian #Petre from #EIB, and to our #Faculty #member Stefano Bonini, PhD, who masterfully guided our students.
🎯 This is only one of the results we got in the last three years with the #Master in #Corporate #Finance. In #2024, thanks to the outstanding job of Stefania Carraro, we will present to our class new #field #projects with top #banking #insitutions, #corporates, and #startups. Stay tuned!
#education #field #projects #masterincorporatefinance #sdabocconi #federicopippo #education #businessschool
Managing Director at Institute for Social Banking
2moThank you for your kind words! It was great to see the ABS colleagues join the conversation, share best practices and find collaboration.