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Blockchain is a distributed ledger, in which the blocks containing transaction details are connected chronologically to form a series of chains, thus raising the possibility of improving the process and innovating business model for the financial institutions. The purpose of this paper is to study the actual cases of Blockchain applied in Korea in 2017, so that a vision of business model innovation of financial institutions can be drawn.

The financial institutions in Korea are in the technology verification stage to introduce Blockchain technology. Since there is an insufficient amount of actual measurement data, case study method was adopted. The authors interviewed ICT officers of major banks in Korea. The purpose of the interview was to understand the relationship between Blockchain and business models of financial institutions, and the effects and challenges that Blockchain has on the business model of financial institutions.

From the perspective of financial institutions, the emergence of Blockchain does not just have technical significance – emergence of highly efficient database system – but has the possibility that if the business model of existing financial intermediaries disappears or get reduced, the financial services relying on them can disappear altogether, or some of them can be replaced, and financial transaction patterns of consumers can be changed. As a case studies researched for this paper, it was discovered that the distributed characteristic of Blockchain cannot be applied when actually developing financial services.

This study aims to examine the direct relationship between board gender diversity (BGD) and financial performance and the moderating role of corporate social responsibility (CSR) in the said relationship.

Using data collected from the Thomson Reuters Eikon ASSET4 database from 42 UK financial institutions listed in the ESG index for the period 2005–2019, this study used multivariate regression analysis on panel data to test the effect of BGD on financial performance and estimate the moderating effect of CSR between them. Moreover, to control the endogeneity problem, the authors conducted an additional analysis by testing the dynamic dimension of the data set through the generalized moment method.

The empirical results show that BGD is positively related to financial performance and that BGD increases firm performance with the moderating effect of CSR. Regarding the endogeneity problem, the existence of continuity between financial institution performances over time is demonstrated.

The current paper sheds light on the importance of BGD in improving firm performance and the moderating role of CSR in strengthening the relationship between BGD and firm performance, thereby contributing to the agency theory, the resource dependency theory and the stakeholder theory. Therefore, regulators and policymakers in the UK can use the outcomes of this study to enforce the representation of female directors on boards to enhance the financial performance of financial institutions. Moreover, the findings could be useful for regulatory bodies to encourage financial institutions to practice CSR activities and disclose them in their annual reports.

To the best of the authors’ knowledge, this is the first study investigating the moderating role of CSR on the relationship between BGD and financial performance in the context of the financial sector. It is also the first study documenting that CSR reinforces the relationship between gender-diverse boards and financial institutions' performance. This study fills a research gap as it expands the existing literature that has generally focused on the impact of BGD on financial performance and has not reached similar results.

Governance quality has been a dominant factor to formulate policies for the development of financial institutions in the world. Therefore, this study aims to explore the impact of governance quality on financial institutions along with globalization in the case of Pakistan.

Time series data from 1996 to 2018 are considered for analysis. The NG-Perron is applied to check the order of integration. In addition, Kim and Perron (2009) structural break unit root test is used to identify break years. The autoregressive distributive lags (ARDL) bound testing approach is used to detect the long-run association among governance quality, financial institutions and globalization.

The results of unit root analysis show that all series are stationary at a different level of integration, I(0)/I(1). However, the long-run association is detected in the presence of break years. The authors find a positive impact of governance quality to determine financial institutions in the long-short-run. Similarly, globalization also enhances financial institutions but only in long run.

This study fills the gap in the economic literature by exploring the linkages between the financial institution and disaggregated governance indicators in the case of Pakistan. Moreover, a role of structural break is also captured during analysis. This study also opens some new insights for policymaking.

The purpose of this paper is to understand the incentive effects of existing compensation mechanisms in case of the bankruptcy of a financial institution.

The paper uses insights of law and economics to predict the effects of compensation mechanisms on the incentives of depositors, financial institutions, financial regulators and government.

The paper shows that the current compensation system in The Netherlands will not provide sufficient incentives for all stakeholders to prevent the failure of a financial institution. Adjustments to this system are necessary to improve these incentives.

The paper examines for the first time the impact of different compensation mechanisms on the incentives of multiple stakeholders. It also shows how these mechanisms influence each other regarding their incentive generating capability. These findings offer important insights for policy makers.

This work draws on important issues that are related to all socio‐economic agents. We refer to Sustainability, Corporate Social Responsibility (CSR) and Socially Responsible Investments (SRIs), arguing on the clear benefits they provide to companies and financial institutions. The main empirical objective of this work is to show a theoretical framework for the existence and supply of non‐financial information on financial products by financial institutions in the Portuguese Investment Market (comprising of Banks and Fund and Investment Companies – FIMCs).

Overall, 55 Banks and 41 FIMCs, were analysed, totalling 96 observations for analysis. The paper studies the supply of non‐financial information (i.e. social and environmental information) regarding the financial products in the Portuguese investment market (comprising of Banks and Fund and Investment Management Companies). Through surveys’ analysis, which were sent to 96 of these financial institutions, we conclude that the supply of these informations’ sets is practically inexistent.

Overall, the conclusions point to the fact that financial institutions surveyed are very much behind in this new framework and related tools, when considering similar financial institutions outside Portugal. There are some institutions that do provide, but when compared to other European and non‐European countries, the discrepancy is huge. It is concluded that much needs to be done in this field, starting with a clear definition of the benefits and costs of providing non‐financial information.

At the academic level, the authors have not found any good study neither on CSR nor on SRIs done by Portuguese researchers nor on its Market. A priori the authors felt that the Portuguese Banks and The Fund and Investment Management Companies were not committed to Sustainability issues, because they believe that for these business agents, Sustainable Development still means, Environmentalism. Through this study the authors seek to provide an image of how the Investment Market is to regards to Sustainable issues, in Portugal, and thus help financial institutions and economic agents (e.g. bank managers, portfolio managers, among others) to know more about these issues that are important to any company.

The purpose of this paper is to discuss the issues faced by financial institutions in detecting threats to their stability and integrity, and taking adequate steps to ensure that those who engage in abuse are detected and sanctioned. The focus is on financial institutions in Nigeria. The paper proffers practical recommendations towards greater effectiveness of Nigeria's anti‐money laundering (AML) and counter terrorist‐financing regimes.

The paper explores Nigerian legislation on money laundering, terrorism, and related crimes. Data are also drawn from analysis of reports of relevant law‐enforcement agencies, regulatory agencies, as well as English and Nigerian case law.

The paper highlights the deficiencies in current money laundering and counter‐terrorist financing (CTF) legislation in Nigeria. It reveals that financial institutions may still be liable to their customers in the course of complying with applicable legislation. The paper suggests that the power of law‐enforcement agencies to “freeze” assets be expanded, while legislation should be enacted with explicit guidance on treatment of politically exposed persons, and terrorism.

The paper calls for a progressively risk‐based approach to reporting of suspicious transactions by Nigeria's financial institutions, as well as greater attention to the provision of training to compliance personnel.

This paper highlights issues requiring urgent legislative intervention; it also draws attention to areas where law‐enforcement agencies and financial institutions could collaborate better in managing cost of compliance and securing the overall effectiveness of the AML and CTF regimes.

Money laundering activities were allegedly rampant and poorly regulated in the South African financial markets and financial institutions prior to 1998. In other words, prior to the enactment of the Prevention of Organised Crime Act 121 of 1998 as amended (POCA), there was no statute that expressly and adequately provided for the regulation of money laundering in South Africa. Consequently, the POCA was enacted to curb organised criminal activities such as money laundering in South Africa. Thereafter, the Financial Intelligence Centre Act 38 of 2001 as amended (FICA) was enacted in a bid to, inter alia, enhance financial regulation and the combating of money laundering in the South African financial institutions and financial markets.

The paper provides an overview analysis of the current legislation regulating money laundering in South Africa. In this regard, prohibited offences and measures that are used to curb money laundering under each relevant statute are discussed. The paper further discusses the regulation and use of customer due diligence measures to combat money laundering activities in South Africa. Accordingly, the regulation of customer due diligence under the FICA and the Banks Act 94 of 1990 as amended (Banks Act) is provided.

It is hoped that policymakers and other relevant persons will use the recommendations provided in the paper to enhance the curbing of money laundering in South Africa.

The paper does not provide empirical research.

The paper is useful to all policymakers, lawyers, law students, regulatory bodies, especially, in South Africa.

The paper seeks to curb money laundering in the economy and society at large, especially in the South African financial markets.

The paper is original research on the South African anti-money laundering regime.

This study aims to explain how institutional, cultural and corporate factors affect the sustainability reporting quality (SRQ) of financial institutions and to test the moderating effect of equator principles (EP).

The annual reports of 100 financial institutions were examined for the year 2016 using content analysis. The multiple regression technique was used to test the proposed relationships.

The results show that the quality of sustainability reports is higher among financial institutions in developed countries. Furthermore, institutions that practice Islamic values and those that integrate corporate social responsibility values into their mission and vision have higher levels of SRQ. Privately owned institutions also have higher quality of sustainability reporting in comparison to government-owned ones. Adopting the EP has a greater effect on the SRQ of non-Islamic financial institutions in comparison to Islamic ones.

The results of the study will be useful in enabling managers of financial institutions to become knowledgeable about the factors that lead to higher SRQ. The findings also have implications for policymakers’ development of sustainability reporting regulations and for the development of effective enforcement of regulations.

These outcomes contribute to the literature on SRQ exploring the importance of institutional, cultural and corporate factors on the extent of SRQ and testing the moderating effect of EP.

Commercial and Islamic banks are important players in the UAE financial market. However, little is known about their financial distress because these financial institutions usually resolve financial distress within their own organisations, which means that outsiders cannot explicitly observe distress. The purpose of the research is therefore to identify the main drivers of financial institutions' financial distress.

The paper estimates a probability distress prediction model using the BankScope Database and the annual reports of UAE financial institutions submitted to UAE Security Exchange Authority. The paper also analyses the impact of macroeconomic information for forecasting financial institutions' financial distress.

The fundamentals of financial institutions in terms of cost income ratio, equity to total assets, total asset growth and ratio of loan loss reserve to gross loans (all these variables with a lag of one year) positively impacted the probability of financial distress in the next year. Recent findings for emerging economies have cast some doubt on the usefulness of macroeconomic information for financial institutions' risk assessment. Similar results are found for UAE financial institutions in predicting the probability of financial distress.

This is the first study to provide empirical evidence on the drivers of financial distress of commercial and Islamic banks in UAE during 2000‐2008, and to examine the extent of the financial distress that can be can be attributed to internal bank‐specific fundamental factors and external factors in the economy.

The aim of this paper is to discuss the similarities and differences of both conventional and Islamic financial institutions from various institutional perspectives.

This conceptual paper describes the insights held by the financial institution theory which is discussed from the perspectives of the economics of the financial institution, legal environment, the political aspect of an institution, the philosophical underpinning, the components of institution and also the ethical role of institution. Then, this paper will proceed to justify the similarities and differences that have been observed between both institutions.

Discussions in this paper will reveal that specifically specific similarity is prevalent on the nature of the supervisory role. The differences between both institutions from the aspects of business organization, economic roles and law of origin have also been found.

The similarities and differences that are established on both institutions will affect the structure of the financial contract and the design of financial systems.

The paper will contribute a new knowledge specifically on the design of the Islamic financial contract based on Shariah law at the initial phase.