Skip to main content
Elsevier

Contemporary Financial Intermediation

  • 5th Edition - May 20, 2026
  • Newer edition is available
  • Authors: Stuart I. Greenbaum, Anjan V. Thakor, Arnoud W. A. Boot
  • Language: English

Contemporary Financial Intermediation, Fifth Edition offers a distinctive approach to the study of financial markets and institutions by presenting an integrated portrait that p… Read more

Description

Contemporary Financial Intermediation, Fifth Edition offers a distinctive approach to the study of financial markets and institutions by presenting an integrated portrait that puts information and economic reasoning at the core. The book explores the implications of the information technology revolution that characterizes the financial services industry with digitization and fintech as important manifestations. Sections explore the subtlety, plasticity, and fragility of financial institutions and credit markets, and the ramifications for risk management (including cyber risk). This textbook demands more in terms of quantitative skills and analysis, but its ability to teach about the forces shaping the financial world is unmatched.

For the financial sector, the best preprofessional training explains the reasons why markets, institutions, and regulators evolve the way they do, why we suffer recurring financial crises, how we typically react to them, and how digitization and fintech will affect financial services and the industry at large. This book provides students with a complete foundation on the subject, presenting a strong basis for learning and understanding key challenges surrounding the management and operations of financial institutions and their competitive environment.

Key features

• Offers a full grounding in the study of financial markets and institutions, building on core
economic insights
• Adopts an applied, integrated approach and is fully updated for recent developments in the field
• Focuses on key challenges for executives and regulators
• Accompanied by an online instructor’s manual, lecture slides, and test bank to reinforce understanding

Readership

Upper-division undergraduates and graduate students worldwide in courses such as Financial Markets and Institutions, Banking, and Commercial Bank Management

Table of contents

PART I: THE BACKGROUND
Chapter 1: Introduction

PART II: WHAT IS FINANCIAL INTERMEDIATION?
Chapter 2: The Nature and Variety of Financial Intermediation
Chapter 3: The What, How, and Why of Financial Intermediaries

PART III: IDENTIFICATION AND MANAGEMENT OF MAJOR BANKING RISKS
Chapter 4: Bank Risks
Chapter 5: Interest Rate Risk
Chapter 6: Liquidity Risk

PART IV: ON BALANCE SHEET BANKING ACTIVITIES
Chapter 7: Spot Lending and Credit Risk
Chapter 8: Further Issues in Bank Lending
Chapter 9: Special Topics in Credit: Syndicated Loans, Loan Sales, and Project Finance

PART V: OFF THE BANK'S BALANCE SHEET
Chapter 10: Off-Balance Sheet Banking and Contingent Claims Products
Chapter 11: Securitization

PART VI: THE FUNDING OF THE BANK
Chapter 12: The Deposit Contract, Deposit Insurance, and Shadow Banking
Chapter 13: Bank Capital Structure

PART VII: FINANCIAL CRISES
Chapter 14: The 2007–2009 Financial Crisis and Other Financial Crises

PART VIII: BANK REGULATION
Chapter 15: Objectives of Bank Regulation
Chapter 16: Milestones in Banking Legislation and Regulatory Reform

PART IX: FINANCIAL INNOVATION
Chapter 17: The Future

PART X: THE FUTURE
Chapter 18: Basic Concepts

Product details

About the authors

SG

Stuart I. Greenbaum

Stuart Greenbaum is the former Dean and professor emeritus at the Olin Business School at Washington University in St. Louis. He is the 2006 recipient of the Lifetime Achievement Award of the Financial Intermediation Research Society. He was named the Bank of America Professor of Managerial Leadership in 2000. Before joining the Olin School in 1995, Greenbaum served for 20 years as a faculty member of the Kellogg Graduate School of Management at Northwestern University where he was the Director of the Banking Research Center and the Norman Strunk Distinguished Professor of Financial Institutions. From 1988 to 1992, he served as Kellogg’s Associate Dean for Academic Affairs. Before Northwestern, Greenbaum served as Chairman of the Economics Department at the University of Kentucky, and on the staffs of the Comptroller of the Currency and the Federal Reserve.

Greenbaum has served on 17 corporate boards. He also served on the Dean’s Advisory Council of the Graduate Management Admission Council, and the board of AACSB International – The Association to Advance Collegiate Schools of Business, Executive Committee of the World Agricultural Forum, and on the board of the St. Louis Children’s Hospital. He was thrice appointed to the Federal Savings and Loan Advisory Council, and was twice officially commended for extraordinary public service. Greenbaum has consulted for the Ewing Marion Kauffman Foundation, the Council of Higher Education of Israel, the American Bankers Association, the Bank Administration Institute, the Comptroller of the Currency, the Federal Reserve System, and the Federal Home Loan Bank System, among others. He has on numerous occasions testified before Congressional committees, as well as other legislative bodies.

Greenbaum has published two books and more than 75 articles in academic journals and other professional media. He is founding editor of the Journal of Financial Intermediation and has served on the editorial boards of 10 other academic journals.

Affiliations and expertise
Bank of America Professor of Managerial Leadership and former Dean, John M. Olin School of Business, Washington University, St. Louis, MO, USA

AT

Anjan V. Thakor

Anjan Thakor is John E. Simon Professor of Finance, Director of Doctoral Programs, and Director of the WFA Center for Finance and Accounting Research, Olin Business School, Washington University in St. Louis. Prior to joining the Olin School, Thakor was The Edward J. Frey Professor of Banking and Finance at the Ross School of Business, University of Michigan, where he also served as chairman of the Finance area. He has served on the faculties of Indiana University, Northwestern University, and UCLA. He has consulted with many companies and organizations, including Whirlpool Corporation, Allision Engine Co., Bunge, Citigroup, RR Donnelley, Dana Corporation, AB-Inbev, Zenith Corporation, Lincoln National Corporation, J.P. Morgan, Landscape Structures, Inc., CIGNA, Borg-Warner Automative, Waxman Industries, Reuters, The Limited, Ryder Integrated Logistics, AT&T, CH2M Hill, Takata Corporation, Tyson Foods, Spartech, and the U.S. Department of Justice. Among many other honors, Dr. Thakor is the winner of the Reid MBA Teaching Excellence Award, Olin School of Business, 2005, and received the Outstanding Teacher in Doctoral Program award for the University of Michigan Business School, April 2003. He has published over 100 papers in leading academic journals in Finance and Economics, including The American Economic Review, Review of Economic Studies, Journal of Economic Theory, The Economic Journal, The RAND Journal of Economics, The Journal of Finance, The Review of Financial Studies, The Journal of Financial Intermediation, and The Journal of Financial Economics. Besides this book, he has published

nine other books. In a paper published in 2017, he was ranked as one of the five most prolific Finance authors during 2005–15.

He is a founding editor of The Journal of Financial Intermediation and one of the founders of The Financial Intermediation Research Society. He is a fellow of The Financial Theory Group. He has served as an expert witness on numerous banking cases and testified in US federal courts on issues related to bank valuation and capital structure.

Affiliations and expertise
John E. Simon Professor of Finance and Director of the PhD Program, Olin School of Business, Washington University, St. Louis, MO, USA

AB

Arnoud W. A. Boot

Arnoud Boot is professor of Corporate Finance and Financial Markets at the University of Amsterdam and research fellow at the Center for Economic Policy Research (CEPR) in London. He is a member of the Financial Economists Roundtable and fellow of the Royal Netherlands Academy of Arts and Sciences (KNAW). Arnoud Boot served on the Inaugural Advisory Scientific Committee of the European Systemic Risk Board (ESRB) and was chairman the Bank Council of the Dutch Central Bank (DNB). Earlier he was on the faculty of the Kellogg School of Management at Northwestern University, and was a partner in the Finance and Strategy Practice at McKinsey & Co. He is the past chairman of the European Finance Association and the Royal Netherlands Economics Association. In addition to his academic activities, Arnoud Boot is advisor to the Dutch government, and consultant to several financial institutions and corporations. He is a non-executive director of several corporations and agencies. His research focuses on corporate finance and financial institutions. His publications have appeared in major academic journals, such as the Journal of Finance, American Economic Review, Review of Financial Studies, and the Journal of Financial Intermediation.
Affiliations and expertise
Professor of Corporate Finance and Financial Markets, University of Amsterdam, The Netherlands