• ISSN: 2010-023X
    • Frequency: Bimonthly
    • DOI: 10.18178/IJTEF
    • Editor-in-Chief: Prof.Tung-Zong (Donald) Chang
    • Executive Editor: Ms. Cherry L. Chen
    • Abstracting/ Indexing:  ProQuest, Crossref, Electronic Journals Library , EBSCO, and Ulrich's Periodicals Directory
    • E-mail: ijtef@ejournal.net
IJTEF 2016 Vol.7(3): 75-80 ISSN: 2010-023X
DOI: 10.18178/ijtef.2016.7.3.502

Inconvenient Retail Depositors of the Euro Area Credit Institutions — Who Are they?

Katarzyna Kinga Kochaniak
Abstract—This paper presents the determinants of the Eurozone households' willingness to possess high value deposits, against the background of post-crisis funding stability regulations for the European Union (EU) credit institutions.
The EU Credit Institutions are required to improve the stability of their funding through household deposits’ accumulation. However, new supervisory norms - Liquidity Coverage Ratio and Net Stable Funding Ratio - perceive the deposits above EUR 500,000 as less stable and discourage the entities to accept them. This solution may rise a question about the profiles of individuals who provide funding and inefficiently influence the reported liquidity of credit institutions.
The aim of this study is to identify the euro area models of households providing large deposits to credit institutions in 9 member states.
On the basis of logistic regression models certain supranational characteristics, which boost the probability of deposit possession (wealth and socio-demographic) are recognised.
The study is based on household-level data provided by the Eurosystem Household Finance and Consumption Survey.

Index Terms—High value household deposits, funding stability, credit institutions, liquidity standards.

K. K. Kochaniak is with Cracow University of Economics, Cracow, Poland (e-mail: katarzyna.kochaniak@uek.krakow.pl).


Cite: Katarzyna Kinga Kochaniak, "Inconvenient Retail Depositors of the Euro Area Credit Institutions — Who Are they?," International Journal of Trade, Economics and Finance vol.7, no.3, pp. 75-80, 2016.

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