Cross-Industry Product Diversification and Contagion in Risk and Return: The Case of Bank-Insurance and Insurance-Bank Takeovers

We investigate the impact of domestic/international bancassurance deals on the risk-return profiles of announcing and non-announcing banks and insurers within a GARCH model. Bank-insurance deals produce intra- and inter-industry contagion in both risk and return, with larger deals producing greater contagion. Bidder banks and peers experience positive abnormal returns, with the effects on insurer peers being stronger than those on bank peers. Insurance-bank deals produce insignificant excess returns for bidder and peer insurers and positive valuations for peer banks. Following the deal, the bank bidders’ idiosyncratic (systematic) risk falls (increases), while insurance bidders exhibit a lower systematic risk and maintain their idiosyncratic risk.

Winston Churchill and the General Strike

Exploring the myths and legends which surround Churchill's role in the 1926 General Strike this places his involvement in the events of that year within the context of his views of sympathy strikes from before the Great War. The continuing importance of these views is shown to explain the marked contrasts between Churchill's approach to the General Strike in May 1926 and his efforts to find a way to resolve the coal dispute which dragged on throughout the year.