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RePEcRisk, Credit & Banking

The Fed Put and Bank Risk-Taking: Evidence from the Loan Book

The paper shows that monetary policy reduces perceived tail risk for bank equity, encouraging banks to originate riskier loans to commercial and industrial borrowers.

Featured in No. 133 on 2 Oct 2026 · 4 days after release

Error probability increases with loan risk rating, showing monetary policy encourages riskier lending.
Figure 3. The impact of bank tail risk shocks on loan risk ratings
Released
28 Sep 2026
First featured
No. 133 · 2 Oct 2026
Published in
Not yet, as far as Semantic Scholar knows
Fanfare
3 of 5
Identifier
RePEc:ces:ceswps:_12980
Authors
Xudong An et al.

Citations and venue from Semantic Scholar (ODC-BY), refreshed weekly. Summary: Quant Letter (CC BY 4.0).

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