Leverage (LEV) |
One minus the ratio of equity to total assets |
|
Banks: Gropp and Heider (2010)Gropp, R., & Heider, F. (2010). The determinants of bank capital structure. Review of Finance, 14(4), 587-622. http://dx.doi.org/10.1093/rof/rfp030. http://dx.doi.org/10.1093/rof/rfp030...
, Hoque and Pour (2018)Hoque, H., & Pour, E. K. (2018). Bank‐level and country‐level determinants of bank capital structure and funding sources. International Journal of Finance & Economics, 23(4), 504-532. http://dx.doi.org/10.1002/ijfe.1635. http://dx.doi.org/10.1002/ijfe.1635...
and Oliveira and Raposo (2021)Oliveira, V., & Raposo, C. (2021). The determinants of European banks’ capital structure: Is there a difference between public and private banks? International Journal of Central Banking, 17(3), 155-202.. |
Deposits (DEP) |
Ratio of total deposits to total assets |
|
Banks: Gropp and Heider (2010)Gropp, R., & Heider, F. (2010). The determinants of bank capital structure. Review of Finance, 14(4), 587-622. http://dx.doi.org/10.1093/rof/rfp030. http://dx.doi.org/10.1093/rof/rfp030...
, Hoque and Pour (2018)Hoque, H., & Pour, E. K. (2018). Bank‐level and country‐level determinants of bank capital structure and funding sources. International Journal of Finance & Economics, 23(4), 504-532. http://dx.doi.org/10.1002/ijfe.1635. http://dx.doi.org/10.1002/ijfe.1635...
and Oliveira and Raposo (2021)Oliveira, V., & Raposo, C. (2021). The determinants of European banks’ capital structure: Is there a difference between public and private banks? International Journal of Central Banking, 17(3), 155-202.. |
Non-deposit liabilities (LIAB) |
Leverage minus total deposits |
|
Banks: Gropp and Heider (2010)Gropp, R., & Heider, F. (2010). The determinants of bank capital structure. Review of Finance, 14(4), 587-622. http://dx.doi.org/10.1093/rof/rfp030. http://dx.doi.org/10.1093/rof/rfp030...
, Hoque and Pour (2018)Hoque, H., & Pour, E. K. (2018). Bank‐level and country‐level determinants of bank capital structure and funding sources. International Journal of Finance & Economics, 23(4), 504-532. http://dx.doi.org/10.1002/ijfe.1635. http://dx.doi.org/10.1002/ijfe.1635...
and Oliveira and Raposo (2021)Oliveira, V., & Raposo, C. (2021). The determinants of European banks’ capital structure: Is there a difference between public and private banks? International Journal of Central Banking, 17(3), 155-202.. |
Profitability (PROF) |
Ratio between Earnings Before Interest and Taxes (EBIT) and total assets |
|
Banks: Hoque and Pour (2018)Hoque, H., & Pour, E. K. (2018). Bank‐level and country‐level determinants of bank capital structure and funding sources. International Journal of Finance & Economics, 23(4), 504-532. http://dx.doi.org/10.1002/ijfe.1635. http://dx.doi.org/10.1002/ijfe.1635...
. Companies: Booth et al. (2001)Booth, L., Aivazian, V., Demirguc-Kunt, A., & Maksimovic, V. (2001). Capital Structure in developing countries. The Journal of Finance, 56(1), 87-130. http://dx.doi.org/10.1111/0022-1082.00320. http://dx.doi.org/10.1111/0022-1082.0032...
. |
Size (SIZE) |
Natural logarithm of total assets |
|
Banks: Sheikh and Qureshi (2017)Sheikh, N. A., & Qureshi, M. A. (2017). Determinants of capital structure of Islamic and conventional commercial banks: Evidence from Pakistan. International Journal of Islamic and Middle Eastern Finance and Management, 10(1), 24-41. http://dx.doi.org/10.1108/IMEFM-10-2015-0119. http://dx.doi.org/10.1108/IMEFM-10-2015-...
and Hoque and Pour (2018)Hoque, H., & Pour, E. K. (2018). Bank‐level and country‐level determinants of bank capital structure and funding sources. International Journal of Finance & Economics, 23(4), 504-532. http://dx.doi.org/10.1002/ijfe.1635. http://dx.doi.org/10.1002/ijfe.1635...
. Companies: Lemmon et al. (2008)Lemmon, M. T., Roberts, M., & Zender, J. F. (2008). Back to the beginning: Persistence and the cross-section of corporate capital structure. The Journal of Finance, 63(4), 1575-1608. http://dx.doi.org/10.1111/j.1540-6261.2008.01369.x. http://dx.doi.org/10.1111/j.1540-6261.20...
and Frank and Goyal (2009)Frank, M., & Goyal, V. (2009). Capital structure decisions: Which factors are reliably important? Financial Management, 38(1), 1-37. http://dx.doi.org/10.1111/j.1755-053X.2009.01026.x. http://dx.doi.org/10.1111/j.1755-053X.20...
. |
Tangibility (TANG) |
Relationship between fixed assets and total assets |
|
Banks: Gropp and Heider (2010)Gropp, R., & Heider, F. (2010). The determinants of bank capital structure. Review of Finance, 14(4), 587-622. http://dx.doi.org/10.1093/rof/rfp030. http://dx.doi.org/10.1093/rof/rfp030...
and Silva et al. (2019)Silva, A., Santos, J. F., Ramos, R. S., & Freitas, M. A. L. (2019). Determinantes da estrutura de capital dos bancos brasileiros. Revista de Gestão, Finanças e Contabilidade, 9(2), 59-76. http://dx.doi.org/10.18028/rgfc.v9i2.7152. http://dx.doi.org/10.18028/rgfc.v9i2.715...
. Companies: Rajan and Zingales (1995)Rajan, R., & Zingales, L. (1995). What do we know about capital structure? Some evidence from international data. The Journal of Finance, 50(5), 1421-1460. http://dx.doi.org/10.1111/j.1540-6261.1995.tb05184.x. http://dx.doi.org/10.1111/j.1540-6261.19...
and Lemmon et al. (2008)Lemmon, M. T., Roberts, M., & Zender, J. F. (2008). Back to the beginning: Persistence and the cross-section of corporate capital structure. The Journal of Finance, 63(4), 1575-1608. http://dx.doi.org/10.1111/j.1540-6261.2008.01369.x. http://dx.doi.org/10.1111/j.1540-6261.20...
. |
Risk (RISK) |
Ratio of standard deviation of EBIT to total assets |
|
Banks: Oliveira and Raposo (2021)Oliveira, V., & Raposo, C. (2021). The determinants of European banks’ capital structure: Is there a difference between public and private banks? International Journal of Central Banking, 17(3), 155-202.. Companies: Booth et al. (2001)Booth, L., Aivazian, V., Demirguc-Kunt, A., & Maksimovic, V. (2001). Capital Structure in developing countries. The Journal of Finance, 56(1), 87-130. http://dx.doi.org/10.1111/0022-1082.00320. http://dx.doi.org/10.1111/0022-1082.0032...
and Lemmon et al. (2008)Lemmon, M. T., Roberts, M., & Zender, J. F. (2008). Back to the beginning: Persistence and the cross-section of corporate capital structure. The Journal of Finance, 63(4), 1575-1608. http://dx.doi.org/10.1111/j.1540-6261.2008.01369.x. http://dx.doi.org/10.1111/j.1540-6261.20...
. |