Ethics as a Way to Sustainability in Banking?
| Název práce v češtině: | Etika jako cesta k udržitelnosti v bankovnictví? |
|---|---|
| Název v anglickém jazyce: | Ethics as a Way to Sustainability in Banking? |
| Klíčová slova: | bankovnictví, etika, ekonomická motivace, Smith, vlastní zájem, cítění, Kant, udržitelnost, Bankscope, bankovní business modely, withinbetween model, ziskovost, volatilita, etické, udržitelné, sociální |
| Klíčová slova anglicky: | banking, ethics, economic motivation, Smith, self-interest, sentiments, Kant, sustainability, Bankscope, banking business models, withinbetween model, profitability, volatility, ethical, sustainable, values-based, social |
| Akademický rok vypsání: | 2012/2013 |
| Typ práce: | diplomová práce |
| Jazyk práce: | angličtina |
| Ústav: | Institut ekonomických studií (23-IES) |
| Vedoucí / školitel: | prof. PhDr. Petr Teplý, Ph.D. |
| Řešitel: | skrytý - zadáno vedoucím/školitelem |
| Datum přihlášení: | 09.06.2013 |
| Datum zadání: | 12.06.2013 |
| Datum a čas obhajoby: | 23.06.2015 00:00 |
| Místo konání obhajoby: | IES |
| Datum odevzdání elektronické podoby: | 14.05.2015 |
| Datum proběhlé obhajoby: | 23.06.2015 |
| Oponenti: | PhDr. Oliver Polyák |
| Kontrola URKUND: | |
| Zásady pro vypracování |
| 1 Introduction
2 Theoretical Background 2.1 Ethics and Economics 2.2 Ethical Concepts in Banking 3 Empirical Research 3.1 Data and Variables 3.2 Methodology 3.3 Analysis of Hypothesis 1 3.4 Analysis of Hypothesis 2 3.5 Analysis of Hypothesis 3 3.6 Summary of Results 4 Conclusion Although there have been many discussions about ethics in banking (see Jeucken, 2001; Koslowski, 2011), events of the recent financial crisis made the topic more urgent than any time before. Intentional misbehaviour of financiers ceased to be redeemed by high profit for investors what, in consequence, pushed them to query the unethical practice rarely questioned before. Post-crisis discussions have been seeking more sustainable ways of banking in order to prevent the world from another crisis. One of possible solutions could be ethical banking. Ethical banking has been itself a vague term with rather philosophical than purely financial sense. Despite that, its former untold definition is being established by its first written principles. The principles are usually set by self-proclaimed ethical banks or their association and go far beyond corporate social responsibility means (Harvey, 1995; Global Alliance for Banking on Values, 2013); the banks take it as their modus operandi. The principles of ethical banking usually encompass financing focused on real economy, close relationship with clients or transparent governance. In financial terms, it has been shown that ethical banks perform better in the time of financial crisis than Global Systematically Important Financial Institutions. (Global Alliance for Banking on Values, 2012) It is particularly due to their loan portfolio which has much lower volatility during bad times. This thesis will broaden the scope of inquiry set by the mentioned report for other ethical banks and, moreover, it will attempt to find a better benchmark for comparison. Also further financial measures (see Kohler, 2013) will be applied to assess interconnection between the ethical principles employed by banks and their financial performance; or in other words, to what extent can ethical banking be profitable for banks as well as for society. |
| Seznam odborné literatury |
| Barbu, Teodora, & Vintila, Georgeta. 2007. The Emergence of Ethic Banks and Social
Responsibility in Financing Local Development. Theoretical and Applied Economics, 12(12 (517)), 29{34. Clerck, Frans. 2009. Ethical Banking. Pages 209{227 of: Zsolnai, Laszlo, Boda, Zsolt, & Fekete, Laszlo (eds), Ethical Prospects. Springer Netherlands. Global Alliance for Banking on Values. 2012. Strong and Straightforward: The Business Case for Sustainable Banking. Global Alliance for Banking on Values. 2013. Global Alliance for Banking on Values - Our Principles. http://www.gabv.org/about-us/our-principles. [Online; accessed 12-July-2013]. Harvey, Brian. 1995. Ethical banking: the case of the Co-operative Bank. Journal of Business Ethics, 14(12), 1005{1013. Jeucken, Marcel. 2001. Sustainable Finance and Banking: The Financial Sector and the Future of the Planet. London: Earthscan. Kohler, Matthias. 2013. Does non-interest income make banks more risky? Retail- versus investment-oriented banks. Deutsche Bundesbank Discussion Paper. Koslowski, Peter. 2011. The Ethics of Banking: Conclusions from the Financial Crisis. Springer. San-Jose, Leire, Retolaza, Jose Luis, & Gutierrez, Jorge. 2009 (September). Ethical banks: an Alternative in the Financial Crisis. Scholtens, Bert. 2009. Corporate Social Responsibility in the International Banking In- dustry. Journal of Business Ethics, 86(2), 159{175. United Nations. 2013a. The Ten Principles - UN Global Compact. http://www. unglobalcompact.org/AboutTheGC/TheTenPrinciples/index.html. [Online; ac- cessed 12-July-2013]. United Nations. 2013b. The Six Principles - Principles for Responsible Investment. http://www.unpri.org/about-pri/the-six-principles/. [Online; accessed 12- July-2013]. |
| Předběžná náplň práce |
| Methodology
Sample of ethical banks will be extended based on research in the area of banking. There are two potential ways: [1] through analysis of member organisaitons (e.g. European Federation of Ethical and Alternative Banks) or [2] identification of individual banks according to principles by ethical banks (Global Alliance for Banking on Values, 2013), principles of corporate social responsibility (United Nations, 2013a) or responsible investment (United Nations, 2013b). Among main variables will be exposure to real economy or ethical position of a bank, both represented by proxies as share of loans or deposits to total assets. Profitability and its volatility across both time and bank groups will be of a main focus. The time span will contain pre-crisis, crisis and post-crisis periods and the groups will be created based on banking business models. BankScope database and annual reports will serve as main data sources. With regards to the studied phenomena and data characteristics, panel data regressions will be used in a way similar to Wu & Shen (2013). Hypotheses 1. A financial profile of ethical banks differ from other banks. 2. Profitability does not significantly vary between ethical and other banks. 3. Ethical banks have less volatile profitability than other banks. |
| Předběžná náplň práce v anglickém jazyce |
| 1 Introduction
2 Theoretical Background 2.1 Ethics and Economics 2.2 Ethical Concepts in Banking 3 Empirical Research 3.1 Data and Variables 3.2 Methodology 3.3 Analysis of Hypothesis 1 3.4 Analysis of Hypothesis 2 3.5 Analysis of Hypothesis 3 3.6 Summary of Results 4 Conclusion |