Journal Article

Access to FHLBank advances and the performance of thrift institutions

Abstract: This article examines thrift financial data from 1985 to 1991 and finds that financially distressed thrifts, especially those benefiting from regulatory forbearance policies, tended to borrow more from Federal Home Loan Banks. The authors also find that the stock returns of distressed thrifts reflected the subsidized rates at which they were able to borrow from the Federal Savings and Loan Corporation.

Keywords: Federal home loan banks; Savings and loan associations;

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Bibliographic Information

Provider: Federal Reserve Bank of Chicago

Part of Series: Economic Perspectives

Publication Date: 1998

Volume: 22

Issue: Q II