Shedding Light on Non-Financial Risks – a European Survey

Shedding Light on Non-Financial Risks – a European Survey — January 2012

7. Appendix

Table 8.1.13: Country group average of net cost of regulation for custodians [1] [2]

[3]

[4]

[5]

Full sample mean

-0.46

-0.71

-0.3

-0.94

-0.77

Group 0 diff-to-mean (RoE)

0.14

0.05

0.12

0.1

0.12

Group 1 diff-to-mean (Fr)

0.01

-0.08

0.09

-0.3 **

-0.2

Group 2 diff-to-mean (UK)

0.21

0.31 ***

-0.1

0.39 **

0.4 **

Group 3 diff-to-mean (De+Au+Nl)

-0.01

0.07

0.01

0.06

-0.01

Group 4 diff-to-mean (Lux+Irl)

-0.49 ***

-0.33 ***

-0.29 ***

-0.15

-0.28 ***

ANOVA F 2.42 ** * denotes significance at the 10% level, ** at the 5% level and *** at the 1% level. “Fr” is France, “UK” is the United Kingdom, “Ge+Au+Nl” is Germany, Austria and the Netherlands, “Lux+Irl” is Luxembourg and Ireland, and “RoE” is the rest of Europe. Answers are coded in the following manner: -2 for High net cost, -1 for Net cost, 0 for Neutral, 1 for Net benefit, 2 for High net benefit. [1] Transparency, information and governance [2] Financial responsibility of the industry [3] Regulation on distribution [4] Stricter obligations of restitution [5] On aggregate 2.21 *** 1.4 1.1 1.88

Table 8.1.14: Country group average of willing to pay for protection [1] [2]

[3]

[4]

Full sample mean

0.78

0.65

0.38

0.64

Group 0 diff-to-mean (RoE)

0.06

0.18 **

0.07

-0.09

Group 1 diff-to-mean (Fr)

-0.07

0

-0.03

0.18

Group 2 diff-to-mean (UK)

-0.09

-0.06

0.02

-0.09

Group 3 diff-to-mean (Ge+Au+Nl)

0.11

-0.06

0

-0.11

Group 4 diff-to-mean (Lux+Irl)

-0.03

-0.32 **

-0.13

0.11

ANOVA F 0.95 * denotes significance at the 10% level, ** at the 5% level and *** at the 1% level. “Fr” is France, “UK” is the United Kingdom, “Ge+Au+Nl” is Germany, Austria and the Netherlands, “Lux+Irl” is Luxembourg and Ireland, and “RoE” is the rest of Europe. Answers are coded in the following manner: 0 for 0, 1 for +, 2 for ++. [1] Transparency, information and governance [2] Financial responsibility of the industry [3] Regulation on distribution [4] Stricter obligations of restitution 0.33 2.27 *** 0.43

Table 8.1.15: Country group average of willing to pay for protection [1] [2]

[3]

[4]

Full sample mean

0.78

0.65

0.38

0.64

Group 0 diff-to-mean (RoE)

0.06

0.18 **

0.07

-0.09

Group 1 diff-to-mean (Fr)

-0.07

0

-0.03

0.18

Group 2 diff-to-mean (UK)

-0.09

-0.06

0.02

-0.09

Group 3 diff-to-mean (Ge+Au+Nl)

0.11

-0.06

0

-0.11

Group 4 diff-to-mean (Lux+Irl)

-0.03

-0.32 **

-0.13

0.11

ANOVA F 0.95 * denotes significance at the 10% level, ** at the 5% level and *** at the 1% level. “Fr” is France, “UK” is the United Kingdom, “Ge+Au+Nl” is Germany, Austria and the Netherlands, “Lux+Irl” is Luxembourg and Ireland, and “RoE” is the rest of Europe. Answers are coded in the following manner: 0 for 0, 1 for +, 2 for ++. [1] Transparency, information and governance [2] Financial responsibility of the industry [3] Regulation on distribution [4] Stricter obligations of restitution 0.33 2.27 *** 0.43

88

An EDHEC-Risk Institute Publication