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Understanding the performance of banking stock returns during recessions

Dr Dimitrios Asteriou is Programme Lead for Economics. His research provides a crucial insight into the volatility of stock markets and crises in the financial sector. Dimitrios won an Oxford Brookes Research Excellence Award in 2016/17.

“My research examines whether bank stocks perform better or worse than the general stock index during periods of recessions and crises and by what percentage difference. If they do indeed perform worse, then there is a reason for bank protection schemes, such as bail-ins, but if not the protectionism banks face is not easily justifiable.

Recessions and crises, whether caused by economic, financial or external factors, quickly affect financial markets. I use this premise to study the impact of recessions and crises on the banking sector.

Through the use of banking stock returns, it is possible to estimate the overall performance of the banking sector in both individual countries and groups of countries following a recession or crisis.

I hope that my ongoing research will be able to assist policy makers in estimating the impact that crises and recessions have and provide a valuable tool in relation to the stress testing scenarios of bank equity during these periods.”

The Research Excellence Awards were launched in 2016 to support research-active academics. Dimitrios was one of the inaugural recipients.
Find out who won awards in 2017 »