Analiza wybranych zagadnień personalizacji usług bankowych na przykładzie rynku polskiego

Author(s): Patrycja Fyda / Language(s): Polish Publication Year: 0

The main subject of the article is a matter of usage and marketing management of channels and web technology in the banking sector for individual customers in Poland. The research focuses on personalization by showing the actual shape of services in a client-oriented environment. The additional purpose of this article is to define ineffective customer service with a not innovative model used in the process. Research is based on literature reports analysis and data analysis. The quantitative study verifies the degree of use of channels for reaching the customer and the use of web technologies with the Polish banking sector as an example. Most of the reports were oriented toward the Polish market, but the definition of personalization is trying to be more open to a larger group of customers. The analysis process shows if banks are using channels and web data compared to active market competitors. As a result, the analysis has led to conclusions on understanding the potential for the use of personalization with recommendations for the future. The paper is practical and presents the process of using selected technology solutions in personalizing services and customer management.

FinTech a nadzór nad rynkiem finansowym w Polsce

Author(s): Marcin Bubicz / Language(s): Polish Publication Year: 0

The contemporary dynamic development of innovations and new technologies in financial markets (FinTech) forces national and supranational institutions responsible for supervision over financial markets to undertake effective and coordinated actions in the scope of the conducted supervision. The above need is additionally reinforced by the progressive diffusions between individual segments of the financial market and the increase in the number of entities operating in them, including primarily cross-border entities and conglomerates. The Polish Financial Supervision Authority, in cooperation with public institutions and private entities of the broadly understood financial market, actively participated in the work of the Committee for the development of financial innovations (FinTech), the effect of which was the Working Report of this Committee published in April 2021 on the most significant barriers to FinTech market development in Poland. The purpose of this article is to present selected regulatory barriers identified by the aforementioned Committee in the area of legal conditions and the resulting practical barriers to the exercised supervision over the financial market. The article first presents general issues related to the institutional organization of financial market supervision in Poland. Then, the article focuses on the ideas, structure and the work of the Committee for the development of financial innovations (FinTech). Finally, there is an analysis of the selected regulatory barriers identified by the above-mentioned Committee.

Walletmor, czyli implant rodem z Cyberpunka 2077

Author(s): Karolina Iwanowska / Language(s): Polish Publication Year: 0

Powstała kolejna rewolucja wśród metod płatności. Szefem start-upu jest Polak pochodzący z Lublina – Wojciech Paprota. Ale o co w tym wszystkim dokładnie chodzi? I czy, po ostatnich wydarzeniach na świecie, wszczepianie implantu podskórnego będzie w stanie przekonać większe grono osób?

SOCIAL HOUSING COSTS

Author(s): Viliam Záthurecký / Language(s): English Publication Year: 0

The paper discusses the growth of building activity of the residential housing and property prices on the example of City Brno following the abolition of regulated rents for rental housing in the Czech Republic. Thanks to the abolition of rent control by the state, real estate prices have increased several times over the past 25 years. The demand for high quality housing and its increase could be explained by several factors such as changing of socioeconomic behaviour, rising incomes, competition, the banking sector, and low interest rates. Methodologically attention has been stressed to analysed results from secondary data from our own research in the environment of housing with an emphasis on the City Brno. Results of the survey will be used also for municipal and government authorities to limit unnecessary regulation in the surveyed sector.

Пандемично рамкиране на застрахователната дейност

Author(s): Stoyan Kirov / Language(s): Bulgarian Publication Year: 0

COVID-19 has completely changed the economic environment by highlighting health and production risks. The pandemic has dramatically increased morbidity and mortality, slowed the development of capital markets, created conditions for inflationary pressures, reduced business activity and increased people’s anxiety. The pressure on insurers, such as crisis management institutions, is enormous. Many countries around the world find it justified and logical for insurance companies to expand their risk coverage and bear much of the economic loss. Some of them even believe that this can happen retroactively. Of course, such perceptions are detrimental and can lead to even greater market imbalances instead of having the desired stabilizing effect. In this situation it is wiser for insurers to be moderately conservative than unreasonably innovative.The pandemic affected life insurers and related reinsurers much more. The reasons for this lie in the type of obligations they have to their clients, the structure of their assets and the regulations applied to them. The high mortality rates during COVID-19 led to an increased number of claims, which exacerbated the risk of insurance insolvency. In addition, the profitability of their investments shows a constant negative trend which hinders portfolio diversification. The increased investment risk will cause stricter measures by government agencies, incl. increased capital requirements for life insurers. Due to the presented arguments COVID-19 impacts on the life insurance market are being analyzed here.

KARTELLEK OSZTÁLYZÁSA AZ ÁRRUGALMASSÁG ÉS A PIACI KONCENTRÁCIÓJA ALAPJÁN. EGY FUZZY INFORMÁCIÓS MÁTRIX ALKALMAZÁS

Author(s): Attila Szöcs,Hunor Burián,Zoltán Makó / Language(s): Hungarian Publication Year: 0

The introduction (1996) of the leniency program into the competition law of the European Union and its subsequent development(2002 and 2006) can be regarded as an effective measure in the fight against cartels. In spite of the fact that the leniency program proved to be a successful weapon against cartels, the European Commission needs additional means of facilitating the process of decision-making. We developed a matrix type instrument which operates with two market factors: price elasticity and market concentration. Since the quantities of these factors are uncertain, they can be characterized by fuzzy numbers. Our work sets as its target to develop a frame which makes possible the characterization of the cartels based on these two factors of the markets on which the cartels are acting now, or are likely to act in the future. Firstly, based on the two factors, the matrix will provide us with nine raw categories, which will be refined in probability categories using a fuzzy information matrix. These categories could provide the Commission with a useful means for prediction.

СЧЕТОВОДНА РАМКА ЗА ОТЧИТАНЕ НА БИЗНЕС КОМБИНАЦИИТЕ

Author(s): Nikolay Yovchev / Language(s): Bulgarian Publication Year: 0

Linkages between Brexit and European Equity Markets Evidence from Quantile Regression Approach

Author(s): Mária Bohdalová,Michal Greguš / Language(s): English Publication Year: 0

The aim of this paper is to give a comprehensive description of the risk dependence and interdependence between selected European stock markets and Brexit equity in the period spanning from January, 7, 2000 to February, 3, 2017. We have studied behavior of extreme quantiles using quantile regression approach. This approach is robust because it is based on the use of various measures of central tendency and dispersion statistics for a detailed analysis of the relationship between variables. We have found evidence of significant interdependence/independence between financial markets and Brexit. The analysis of upper and lower quantiles allows to observe that the interdependence is positive asymmetric and higher for bear markets compared to bear or normal markets conditions.

The dynamics of linkages between European currencies: How does it change according to the time of day?

Author(s): Małgorzata Domańska,Ryszard Doman / Language(s): English Publication Year: 0

The aim of the paper is to document how the dynamics of linkages between European currencies changes during a trading day according to the activity of different groups of traders, and show the impact of important events and news on the dependence structures. We analyze conditional dependencies between the Czech koruna, Hungarian forint, Polish zloty and the major European currencies (the euro, British pound and Swiss franc). The analysis is performed for the exchange rates against the US dollar. We consider daily returns calculated using the exchange rates quoted at different times of day. The dynamics of the dependencies is modeled by means of Markov regime switching copula models, and the strength of the linkages is described using dynamic Spearman’s rho coefficients and the dynamic coefficients of tail dependence. The approach used allows to scrutinize changes in the dynamics of the conditional dependence structure according to the time of day, which can be useful in recognizing diversification possibilities.

Regulation of Insurance Market in Slovak republic

Author(s): Michal Fabuš,Viktória Čejková / Language(s): English Publication Year: 0

In contribution, we deal with insurance market as part of the financial market. We will examine financial market from an economic and legal point of view, stating its segmentation as economic-legal category. As the insurance market is regulated by different laws and legal norms, we will deal closer with regulation of the insurance market and supervision of the insurance market. The contribution will also focus on the assessment of the level of the insurance market through selected indicators. In the contribution, traditional methods of analysis and synthesis will be used as well as analytical and statistical methods to characterize main selected indicators of the insurance market. At the end, we list the options for improving the regulation of the insurance market and supervision of the insurance market. The activity of commercial insurance companies in the Slovak insurance market will in the future be influenced by the development of information technologies, which must be used also for investment activity. Very important is the interconnection - Information highway between commercial insurance companies as well as between insurance companies and their clients. Qualified use of these information technologies will lead in the future to a reduction in service and thus to a competitive advantage.Clients of commercial insurance companies are inadequately informed, for example, about the residual value of life insurance claims. They do not have enough information on the disposable value of the indemnity in case of early termination of the insurance contract and are not informed of the disadvantage of early termination of the life insurance contract.The main objective of the regulation should be stability, security, credibility in the insurance market for clients of commercial insurance companies. Only an efficiently fufunctioning insurance market can ensure the performance and development of the economy.

The changes in capital structure of selected banking markets as a result of new regulations

Author(s): Günter Hofbauer,Monika Klimontowicz,Aleksandra Nocoń / Language(s): English Publication Year: 0

Among many different factors that has influenced banking market for the last few decades the regulations are thought to be the crucial ones. The new prudential standards implemented by the Basel Committee treat banks’ capital as a foundation for safety. The appropriate level of bank’s capital helps to manage all kinds of risks. European directives that have had to be implemented to national regulations have remarkably changed the market environment and influenced banks and credit institutions’ market policy. Fulfilling capital requirements has become one of their most important objectives. On the other hand, capital safety may favour maintaining the stability of banks. The paper presents the review of European regulation in this field and their impact on selected banking market. The author has chosen Germany and Poland as an representation of European largest economies. The purpose of the paper is to present the similarities and differences between the regulation impact on the west and east Europe.

Technical Efficiency of Banks Selected countries of Eastern Europe

Author(s): Eva Horvátová / Language(s): English Publication Year: 0

Increased capital requirements are associated with the need to create additional income, with the expansion of banks' performance. The growth of the banking margin can generate downward pressure on prices of resources and the rise in interest rates on loans. Expected growth in the interest margin can be linked to the growth of capital by a certain unit. It should be monitored as to meet the expectations of regulators and how they manifest themselves in countries with different levels of development of the banking sector. In this article we will focus on the efficiency of banks selected countries of Eastern Europe. We will analyze how the technical efficiency of banks is if we consider for their output the net interest margin as presupposes to achieving expectations connected with increasing capital. For these purposes will be used the method of DEA – Data Envelope Analysis.

Evaluation of Bancassurance Functioning in Selected Countries of the Financial Group KBC Group

Author(s): Lenka Přečková / Language(s): English Publication Year: 0

This paper will evaluate the level of internal integration among bancassurance products and financial institutions belonging to the financial group KBC Group in selected countries of Europe. There shall be selected four countries which are located in Central and Eastern Europe: the Czech Republic, Slovak Republic, Hungary and Bulgaria. The research was conducted as of December, 2016. This paper aims at determining whether similarities in how the financial group KBC Group is organized correspond to similarities in how bancassurance in the selected countries functions. To make this possible, a critical analysis of bancassurance-related literature shall be conducted and a hypothetical basis for the practical evaluation shall be formulated. Characteristics for evaluation of the level of integration inside the financial group and also a bancassurance product will also be set. To evaluate how bancassurance functions in practice, a qualitative research based on data available on web sites and also financial and annual reports shall be used. The qualitative research is to contain a detailed analysis, sorting and a comparison of the set characteristics. Finally, it shall be determined which attributes are identical and which are different in the integration of financial groups and bancassurance products.

Comparison between CreditMetrics™ and KMV

Author(s): Yuan Tian,Josef Novotny / Language(s): English Publication Year: 0

The topic of this paper is comparison between Creditmetrics™ and KMV. The goal is to estimate the benchmarks for both the Creditmetrics™ model and the KMV model, and then compare these two models theoretically and diagrammatically. Credit risk is determined in a portfolio that consists of ten selected quoted companies in the Frankfurt Stock Exchange (FSE) with a total nominal value of 10 million euro and the time horizon is one year, from March 24th, 2016 to March 24th, 2017. Under the framework of Creditmetrics™ and KMV, credit risk associated with the portfolio is quantified in terms of the values of economic capital. After calculating the expected loss and the unexpected loss for the whole portfolio by Creditmetrics™ (at a 99,9% confidence level) and KMV, the values of economic capital, which is the difference between the expected loss and the unexpected loss, equal to 513 316 € and 870 370 €, respectively. The most essential difference between two models is that Creditmetrics™ is a backward-looking model, while KMV is a forward-looking model.

Assessment of Changes in the Trend of Interdependences between the Capital Market of Germany and the Markets of Poland, the Czech Republic and Hungary

Author(s): Marek Zineker,Edyta Łaszkiewicz,Tomáš Meluzín,Michał Pietrzak,Adam P. Balcerzak / Language(s): English Publication Year: 0

The subject of the article concerns the identification of a common factor (latent variable) describing the interdependence system for selected capital markets. Within the study we conducted an analysis of the correlation between the capital market of Germany and the markets of Poland, the Czech Republic and Hungary. The values of conditional correlations derived from the DCC-GARCH model were used to evaluate the interdependence between the capital markets. Then, based on the established interdependencies between the markets, a cointegration analysis was carried out. The degree of integration of conditional correlation series using the Phillips-Perron test was tested. Based on the Johansen procedure, a long-term system of linkages between the capital markets was determined. The identification of the cointegration process for the interdependence system was an argument for identifying a common factor on the basis of the affirmative factor analysis. The common factor reflects the leading direction of changes in the interdependence system between the German capital market and the markets of Poland, the Czech Republic and Hungary. The estimation of the square trend parameters for the identified common factor allowed us to determine the direction of change in the interdependence system between the examined capital markets. The results obtained confirmed that the increase in the level of interdependence was due to the global financial crisis and the slow stabilization of the analyzed markets.

Life Insurance in the Czech Republic: New Challenges?

Author(s): Karina Benetti / Language(s): English Publication Year: 0

Do the life insurance products offered on the Czech insurance market provide adequate insurance protection? Life insurance over the last decade has changed greatly, not only in the offer of products. Originally this type of insurance resulted to cover the consequences of the risk of death and life expectancy risk. Products of life insurance covering the risk of death should provide family of in case of death of the breadwinner, products aimed at the risk of life expectancy were mainly-saving products which should primarily secure the individual in old age. It was also possible to arrange a product called endowment assurance. It is worth mentioning that there are various modern variations and possibilities of arranging the different kinds of insurance within the life insurance of people. The product development is escalated in investment life insurance product, which has its strengths, but also weaknesses. It is a question if the situation on the Czech life insurance market with regard to the development and importance of the products of the investment life insurance for the insurance or especially financial market the opportunity or the threat.The main objective of this paper is to capture the main trends of gross life insurance premium, focusing on changes in gross premiums written by individual types of life insurance products including the analysis of selected parameters (number of insurance contracts, insurance penetration and other selected indicators). The software STATGRAPHICS Centurion will be used for this analysis.

Determination and Verification of the Key Assessment Indicators for the Insurance Market by Applying the Decomposition Multiattribute Methods and Regression Analysis

Author(s): Martina Borovcová,Adéla Špačková / Language(s): English Publication Year: 0

The insurance industry is one of the most important sectors of the economy. The insurance market is very much intertwined in the financial markets, therefore assessment of its level is important. The assessment and analysis of the insurance market is done by using selected indicators. The aim of the article is determination and verification of the key assessment indicators for the insurance market by applying the decomposition multi-attribute methods and regression analysis. This paper is focused on the description, verification and application of the multi-attribute decomposition methods AHP and ANP based on the Saaty pair comparison approach. The AHP and ANP methods are described, including the computation procedure. The applicability of the methods is presented at the preferences determination. The linear AHP and nonlinear ANP methods are applied. These methods are applied for insurance market assessment, particularly, for determination of preference indicators for the assessment of the insurance market. We consider importance of setting the ratio for evaluation indicators of the development of the insurance market by applying Saaty methods in the framework of decomposition methods AHP and ANP (insurance penetration ratio, claims frequency ratio, concentration ratio, premium indicator, benefit indicator, number of insurance company indicator and more). Subsequently, a custom regression model is created.

Investors’ Expectations, Price-Dividend Dependence and P/E Ratio for Common Stock: Specifics of Well-Developed Markets and Emerging Markets

Author(s): Sergey Petrov,Nadezhda Yashina,Oksana Kashina,Natalia N. PRONCHATOVA-RUBTSOVA / Language(s): English Publication Year: 0

It is well known that a role of dividend payments as a criterion for the effectiveness of portfolio investments increases with the rise in their time horizon. The comparison of share price performance and dividend payments in more than a hundredyear retrospective had allowed to find out the phenomenon of anomalous volatility for stock prices. The result had a powerful influence on the concept of risky asset evaluation. The authors of the paper proposed to study time series of stock prices and dividend payments in a somewhat different frame of reference. The aim of the paper is to examine investors’ perception of growth prospects for equities based on the investigation of share price dynamics compared to annual dividend payments. The proposed theoretical model uses an original procedure of continuously growing dividend discounting with arbitrary investment period. The research deals, but not limited to, with the shares of American and Russian corporations from 1985 till 2016. The central issue of the research is to compare the observed price-dividend dependence for the share with the one corresponding to classical dividend discount model assuming that the growth of dividend is uniform and the period of investment is infinite. The result of the analysis carried out is that both in well-developed and in emerging markets authors' technique allows to gain an insight (for many securities) into the primary motive for “representative shareholder” to evaluate a security: is it an income from share price growth or a willingness to receive stock dividends. Similar diagnostics is of undoubted interest for portfolio management; it is more exact for developed markets that have longer history and are less volatile. We show in the paper that the proposed method makes it possible to define the concept of earnings shares and growth shares more concretely.

Evaluation of Expense Ratio of Insurance Portfolios Belonging to Selected Insurance Companies Operating on Czech Insurance Market

Author(s): Lenka Přečková,Eva Vávrová / Language(s): English Publication Year: 0

The paper focuses on evaluation of insurance portfolios belonging to the insurance companies ČSOB and Komerční pojišťovna from the vantage point of growth rate of premium written and expense ratio of the insurance portfolio. The aim of this paper is to ascertain whether the selected insurance companies experience lower expense ratio of their insurance portfolio than what is the average expense ratio of insurance portfolios on the Czech insurance market. The reason for doing this research is in the fact that the insurance companies ČSOB and Komeční pojišťovna are entities with a developed bancassurance model. As the authors discovered in their earlier research, insurance companies using this model experience lower expense ratio. This paper analyzes the selected insurance companies on Czech insurance market considering the cooperation between the bank and insurance company. It analyzes the volume of premium written concluded through the distributional channel of bancassurance, and eventually compares expense ratios of the selected insurance companies with the average value on Czech insurance market between 2012 and 2016. Expense ratio of life insurance in both insurance companies shows lower values than the average value on the Czech insurance market. The same applies to total insurance. The research confirms that Komerční pojišťovna shows lower average value of expense ratio than ČSOB pojišťovna.

Preliminary Results of Non-bank Consumer Credit Providers in the Professional Qualifications Test by the Act No. 257/2016 Coll., on Consumer Credit

Author(s): Ivan Soukal,Eva Hamplova / Language(s): English Publication Year: 0

The new Act No. 257/2016 Coll., on consumer credit states obligatory duty for consumer credit providers and intermediaries to ensure and prove the professional qualification level of all employees involved in the provision and intermediation of a consumer credit. Qualification can be proven by the Act No. 257/2016 Coll only at accredited institutions. Such institutions provide a testing based on questions prepared by the market regulator and supervisor – the Czech national bank. No one is allowed to provide or intermediate a consumer credit without a successful test pass at an accredited institution. We analyzed the test results of 287 employees of two medium-sized non-bank financial institutions who took the final qualification test at an accredited institution. The goal is to present the test results so far and to find whether gender and age are factors of the test score. We set four main and three auxiliary hypotheses regarding an effect of gender and age variable on the test performance. We find that neither of the variables is a factor. Although some level of variance is present in a more detailed analysis, it is not statistically significant. Therefore, we claim that regarding the test by the act no. 257/2016 Coll. on Consumer Credit the results are independent of age or gender of an employee. Our result was unexpected concerning the age variable. In a discussion, we explain that results might be biased by “early-takers” employees. Therefore, we expect an increase in test results variance and change in the test result distribution skewness in a future as more regular employees will participate.