IRMA-International.org: Creator of Knowledge
Information Resources Management Association
Advancing the Concepts & Practices of Information Resources Management in Modern Organizations

Using Self Organizing Maps for Banking Oversight: The Case of Spanish Savings Banks

Using Self Organizing Maps for Banking Oversight: The Case of Spanish Savings Banks
View Sample PDF
Author(s): Felix Lopez-Iturriaga (University of Valladolid, Spain) and Iván Pastor-Sanz (University of Valladolid, Spain)
Copyright: 2017
Pages: 27
Source title: Nature-Inspired Computing: Concepts, Methodologies, Tools, and Applications
Source Author(s)/Editor(s): Information Resources Management Association (USA)
DOI: 10.4018/978-1-5225-0788-8.ch049

Purchase

View Using Self Organizing Maps for Banking Oversight: The Case of Spanish Savings Banks on the publisher's website for pricing and purchasing information.

Abstract

This chapter combines two methods based on neural networks (trait recognition and self-organizing maps) to develop a model of bankruptcy prediction. The authors apply the method to the Spanish savings banks, most of them rescued by the Government between 2008 and 2013 in a costly massive process. First, the authors detect the combinations of variables (performance, asset structure, and capitalization) that best describe the profile of the rescued savings banks. Then, the authors use these combinations on a yearly basis to generate bi-dimensional maps in which banks are placed according to their risk and similarities. This method provides a visual tool that can improve the oversight of policy makers on the whole financial system and enable time pertinent answers to some threatens to the country financial stability. The maps are useful means to detect and understand how the financial threats emerge over time too.

Related Content

Mohamed Arezki Mellal. © 2022. 9 pages.
Tahir Cetin Akinci, Ramazan Caglar, Gokhan Erdemir, Aydin Tarik Zengin, Serhat Seker. © 2022. 11 pages.
Sunanda Hazra, Provas Kumar Roy. © 2022. 16 pages.
Ragab A. El-Sehiemy, Almoataz Y. Abdelaziz. © 2022. 23 pages.
Khaled Dassa, Abdelmadjid Recioui. © 2022. 35 pages.
Anupama Kumari, Mukund Madhaw, C. B. Majumder, Amit Arora. © 2022. 21 pages.
Mandrita Mondal. © 2022. 20 pages.
Body Bottom