Call For Papers - Deadline - 1 July 2012
Bank Funding: Markets, Instruments and Implications For Corporate Lending and the Real Economy

Joint conference by: European Central Bank, Federal Reserve Bank of New York and Review of Finance

To be held at the European Central Bank in Frankfurt, Germany, 8-9 October 2012

BACKGROUND: The strong and increasing interconnection between banks, financial markets, and the shadow banking system has been one of the major structural developments in the financial system in recent years. As a result, distress of financial institutions tends to be amplified in financial markets and provide a mechanism for the spreading of risk across institutions. The spreading of distress can lead to the impairment of the financial system's ability to intermediate credit, with potentially adverse consequences to real economic activity. The increased role of financial markets in bank funding has also had a significant impact on credit supply, overall lending standards and the real economy. The evolving models of bank funding are likely to play an important role in determining the resilience of the banking sector and have implications for international macroeconomic developments.

This conference aims to bring together researchers from financial stability, financial intermediation, financial econometrics, corporate finance, asset pricing and macro-finance in to gain insight into the relation between bank funding, credit and real activity. A highlight of the conference will be several speakers including Benoît Coeure (Member of the Executive oard at the European Central Bank), Philippe Bodereau (Head of pan-European Credit Research at Pimco), Ulrich Bindseil (Deputy Director General of the Markets Operations Department at the European Central Bank), Arnaud Boot (University of Amsterdam) and Martin Hellwig (Bonn University and Chair of the Advisory Scientific Committee of the European Systemic Risk Board).

TOPICS: The conference aims to include presentations by leading academics, financial market practitioners and policy makers. The conference will target influential, rigorous, innovative, policy-relevant empirical papers as well as relevant theoretical contributions. Topics will include, but are not limited to, the following:
- financial market incentives and bank funding,
- International implications of the evolving models of funding,
- the impact of different types of bank funding on the supply of corporate lending (including SME lending) and investment,
- corporate bond issuance as a complement/substitute to bank lending over the cycle,
- bank deleveraging and its impact on credit,
- bank restructuring, bank funding, and the supply of credit,
- the nexus between government debt and bank funding,
- the costs of raising of bank equity during crisis and non-crisis periods,
- corporate loan securitizations (CLOs, and ABS of SMEs) and investment,
- central bank policies (including collateral eligibility), bank funding and bank investment,
- bank funding and the transmission mechanism of monetary policy.

SPEAKERS: Speakers would include:
Benoit Coeure (Member of the Executive Board at the European Central Bank)
Philippe Bodereau (Head of pan-European Credit Research at Pimco), Ulrich Bindseil (Deputy Director General, Markets Operations Department at the European Central Bank),
Arnaud Boot (University of Amsterdam),
Martin Hellwig (Bonn University and Chair of the Advisory Scientific Committee of the European Systemic Risk Board).

Submission Deadline: 1 July 2012

PAPER SUBMISSION PROCEDURE: Authors interested in submitting a paper proposal should send a provisional draft or a detailed outline to: Bank.Funding.Conference.2012@ecb.europa.eu, also indicating whether they would wish to act as a discussant for a contributed paper. Authors submitting a paper should also specify their funding requirements.

Authors will be notified about the acceptance of papers and the conference programme by 30th of September 2012 at the latest. The ECB may cover travel costs for an economy air ticket, taxi and public transportation as well as up to two nights' hotel accommodation for selected speakers and discussants from academia. Expenses of participants from other institutions, including National Central Banks, will not be reimbursed.

Authors will have the possibility but not the obligation to submit their papers to the Review of Finance. The submission fee for the Review of Finance will be waived for all conference papers submitted to the Review within six months after the conference takes place.

FURTHER INFORMATION: The conference will be held at the ECB, Kaiserstrasse 29, in Frankfurt. The conference programme starts on Monday (8 October) and will end on Tuesday at noon (9 October). A conference dinner will be held on Monday evening.

Details about the sponsors: http://www.ecb.int, http://www.newyorkfed.org and http://www.revfin.org

LOCAL ORGANIZING COMMITTEE:
Diego Rodriguez-Palenzuela (European Central Bank)
Cornelia Holthausen (European Central Bank and CEPR)
David Marques-Ibanez (European Central Bank, conference coordination)
Benjamin Sahel (European Central Bank)

PROGRAMME COMMITTEE
Tobias Adrian (Federal Reserve Bank of New York)
Franklin Allen (University of Pennsylvania)
Nicola Cetorelli (Federal Reserve Bank of New York)
Cornelia Holthausen (European Central Bank and CEPR)
Steven Ongena (Tilburg University and CEPR)
David Marques-Ibanez (European Central Bank)
Diego Rodriguez-Palenzuela (European Central Bank)
Benjamin Sahel (European Central Bank)
Tanju Yorulmazer (Federal Reserve Bank of New York)