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Agrupación de Instituciones Bancarias a Partir del Análisis de Cluster: Una Aplicación al Caso de Chile

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  • Alejandro Jara
  • Daniel Oda

Abstract

In this paper, we apply a multivariate method to classify banks according to their degree of similarity, known as cluster analysis. Using balance sheets data for the period 2008-2013 on a set of 23 banks in Chile, we find that the banking industry can be clustered into seven groups of homogeneous institutions: (i) large multi-banks, (ii) medium size multi-banks, (iii) medium size specialized banks, (iv) retail banks, (v) treasury banks, (vi) foreign trade banks, and (vii) banks dedicated to financial services. Additionally, we show that this classification of banks is stable over time, and that can contribute to improve the banking system surveillance in Chile.

Suggested Citation

  • Alejandro Jara & Daniel Oda, 2015. "Agrupación de Instituciones Bancarias a Partir del Análisis de Cluster: Una Aplicación al Caso de Chile," Working Papers Central Bank of Chile 744, Central Bank of Chile.
    • Handle: RePEc:chb:bcchwp:744
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    File URL: https://www.bcentral.cl/documents/33528/133326/DTBC_744.pdf
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    References listed on IDEAS

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    1. Glenn Milligan & Martha Cooper, 1985. "An examination of procedures for determining the number of clusters in a data set," Psychometrika, Springer;The Psychometric Society, vol. 50(2), pages 159-179, June.
    2. Amel, Dean F & Rhoades, Stephen A, 1988. "Strategic Groups in Banking," The Review of Economics and Statistics, MIT Press, vol. 70(4), pages 685-689, November.
    3. Antonio Ahumada & Jorge Marshall, 2001. "The banking industry in Chile: competition, consolidation and systemic stability," BIS Papers chapters, in: Bank for International Settlements (ed.), The banking industry in the emerging market economies: competition, consolidation and systemic stability, volume 4, pages 45-53, Bank for International Settlements.
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    Cited by:

    1. Georgia Bush & Tomás Gómez & Alejandro Jara & David Moreno & Konstantin Styrin & Yulia Ushakova, 2021. "Macroprudential policy and the inward transmission of monetary policy: The case of Chile, Mexico, and Russia," Review of International Economics, Wiley Blackwell, vol. 29(1), pages 37-60, February.
    2. Margaretic, Paula & Cifuentes, Rodrigo & Carreño, José Gabriel, 2021. "Banks’ interconnections and peer effects: Evidence from Chile," Research in International Business and Finance, Elsevier, vol. 58(C).
    3. Cao, Jin & Dinger, Valeriya & Gómez, Tomás & Gric, Zuzana & Hodula, Martin & Jara, Alejandro & Juelsrud, Ragnar & Liaudinskas, Karolis & Malovaná, Simona & Terajima, Yaz, 2023. "Monetary policy spillover to small open economies: Is the transmission different under low interest rates?," Journal of Financial Stability, Elsevier, vol. 65(C).
    4. Du, Brian & Serrano, Alejandro & Vianna, Andre, 2018. "Institutional development and foreign banks in Chile," International Review of Financial Analysis, Elsevier, vol. 58(C), pages 166-178.
    5. Gajewski, Krzysztof & Jara, Alejandro & Kang, Yujin & Mok, Junghwan & Moreno, David & Serwa, Dobromił, 2019. "International spillovers of monetary policy: Lessons from Chile, Korea, and Poland," Journal of International Money and Finance, Elsevier, vol. 90(C), pages 175-186.
    6. Alejandro Jara & Luis Cabezas, 2017. "International Banking and Cross-Border Effects of Regulation: Lessons from Chile," International Journal of Central Banking, International Journal of Central Banking, vol. 13(2), pages 95-127, March.
    7. Tomás Gómez & Alejandro Jara & David Moreno, 2020. "International and domestic interactions of macroprudential and monetary policies: the case of Chile," Working Papers Central Bank of Chile 870, Central Bank of Chile.

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