Publication Type
Journal Article
Version
acceptedVersion
Publication Date
10-2020
Abstract
Using a novel dataset of 121 Chinese P2P lending platforms, we investigate the impact of CEOs' banking experience on default risk. The empirical results indicate that CEOs with prior banking experience manage default risk better. Moreover, CEOs' banking experience has a stronger influence on small platforms and in situations where the platforms' depository banks are city commercial banks. Our results indicate that although fintech provides technology to reduce risks, we cannot ignore the constructive role of professional experience in risk management. Thus, investors and regulators in emerging markets should pay attention to managers' financial qualifications, and especially to CEOs' banking experience.
Keywords
CEOs' banking experience, Default risk, Peer-to-peer lending platform (P2P)
Discipline
Asian Studies | E-Commerce | Finance and Financial Management
Research Areas
Finance
Publication
Finance Research Letters
Volume
36
First Page
1
Last Page
5
ISSN
1544-6123
Identifier
10.1016/j.frl.2020.101461
Publisher
Elsevier
Embargo Period
5-16-2021
Citation
GONG, Qiang; LIU, Chong; PENG, Qianni; and WANG, Luying.
Will CEOs with banking experience lower default risks? Evidence from P2P lending platforms in China. (2020). Finance Research Letters. 36, 1-5.
Available at: https://ink.library.smu.edu.sg/lkcsb_research/6701
Copyright Owner and License
Authors
Creative Commons License
This work is licensed under a Creative Commons Attribution-NonCommercial-No Derivative Works 4.0 International License.
Additional URL
https://doi.org/10.1016/j.frl.2020.101461