LSU Finance Professor, Ph.D. Student Present Paper at WFA Annual Meeting
BATON ROUGE – Wei-Ling Song, J.P. Morgan Chase/Chuck McCoy Distinguished Professor #2 and assistant professor in the LSU Department of Finance, and Cihan Uzmanoglu, a finance Ph.D. student, recently presented an academic paper at the 2011 Western Finance Association, or WFA, annual meeting, which took place in June.
Song and Uzmanoglu’s paper, “System Risk Channel: Banking Relationship Spillover in the Credit Default Swap and Stock Markets,” was one of the 144 selected papers from more than 1,400 submissions. The paper discusses how the Troubled Asset Relief Program capital infusion and systemic risk are channeled through healthy versus unhealthy institutions.
“TARP appears to create uneven benefits through unhealthy banks as more liquidity is provided to their borrowers with high credit rating, low leverage and high collateral,” the paper’s abstract asserts. “Such ‘excessive’ liquidity can dissuade these borrowers to discipline unhealthy banks by severing their relationships ex-ante.”
To view the academic paper, click visit http://papers.ssrn.com/sol3/papers.cfm?abstract_id=1572743.
WFA is a professional society for academicians and practitioners with a scholarly interest in the development and application of research in finance. The international organization offers membership to individuals from academic and professional communities, as well as institutions. The purpose of the association is to serve as a focal point for communication among members, while improving teaching and scholarship, disseminating information, holding meetings and supporting publications. For more information about WFA, visit http://wpweb2.tepper.cmu.edu/wfa/.
The Department of Finance at LSU’s E. J. Ourso College of Business offers high quality programs for undergraduate and graduate students interested in careers in corporate finance, asset management, real estate, insurance, banking, financial planning and business law. Aiming to create exciting educational opportunities for its students, the department employs tools such as the Securities Markets Analysis Research and Trading, or SMART, Lab. This 44-station simulated interactive trading floor enables students to gain practical experience in the fast-paced world of securities analysis, research and trading. Additionally, the Department of Finance encourages, supports and conducts research in real estate by housing the nationally renowned Real Estate Research Institute. For more information, visit www.bus.lsu.edu/finance, call 225-578-6291, or email email@example.com.