We study the determinants of Credit Default Swap (CDS) spreads through quantile regressions. In addition to traditional variables, the results indicate that CDS spreads are also determined by illiquidity costs. However, contrary to stocks or bonds, we show that CDS transaction costs should be measured by absolute, rather than relative, bid-ask spreads. Quantile regressions indicate that both th...

This paper proposes a new distributed reputation management scheme to support agent-based applications. The scheme uses a transaction feedback system and five metrics to real-time evaluate the reputation of Trusted Third Party (TTP) hosts that are selected and employed to support an agent in performing its transactional tasks. The scheme exhibits two interesting features not seen in previous wo...

With the enhancement in technology e-banking like credit Card, Debit Card, Mobile Banking and Internet Banking is the popular medium to transfer the money from one account to another. E-Banking is gaining popularity day by day, which increases the online transaction with the increase in online shopping, online bill payment like electricity, Insurance Premium and other charges, online recharges ...

Signatures are evolving profiles of entities extracted from streams of transactional data. For a stream of credit card transactions, for example, an entity might be a credit card number and a signature the average purchase amount. Signatures provide a high-level view of data in a transactional data warehouse and help data analysts focus their attention on interesting subsets of the data in such...

On the network advantage of Internet finance, we analyzed the business trait and the future development trend of Internet finance, and analyzed the positive information value on big data in Internet finance business development, such as the long tail user management, risk supervision, the third party payment, micro credit, crowd funding, online manage money matters, business recommendation, the...

This paper describes a system that responds to a signiicant problem involving credit card theft. After a card has been stolen, some of the transactions processed subsequently have to be granted if it seems that they were carried out by the card owner himself (e.g. by a standing order) while other transactions should be denied authorization if they were carried out by the misuser of the card. Th...

This document describes a new cryptographic protocol that allows the efficient authentication of an unlimited amount of data coming from an IC Card by an off-line terminal where the IC Card’s cryptographic capability is limited to computing one-way functions and MACs. The authentication of the IC Card and its data are based on a Challenge-Response protocol using one-way functions. The protocol ...

An ability to understand and predict financial wellbeing for individuals is of interest to economists, policy designers, financial institutions, and the individuals themselves. According to the Nilson reports, there were more than 3 billion credit cards in use in 2013, accounting for purchases exceeding US$ 2.2 trillion, and according to the Federal Reserve report, 39% of American households we...

Ambivalence in the regulatory definition of capital adequacy for credit risk has recently steered the financial services industry to collateral loan obligations (CLOs) as an important balance sheet management tool. CLOs represent a specialised form of Asset-Backed Securitisation (ABS), with investors acquiring a structured claim on the interest proceeds generated from a portfolio of bank loans ...

Credit card frauds are unauthorized transactions that are made or attempted by a person or an organization that is not authorized by the card holders. In addition to machine learning-based techniques, credit card companies often employ domain experts to manually specify rules that exploit domain knowledge for improving the detection process. Over time, however, as new (fraudulent and legitimate...