Nottingham University Business School
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Professor Enrico Onali

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PhD (Bangor University), PGCHE (Bangor University)
Chair in Finance

Division: Finance, Risk and Banking
Tel: +44 (0) 115 8466018
Location: C38 (South Building, Jubilee Campus)

I am a Professor in Finance at Nottingham University Business School. My research interests lie mainly in the areas of capital markets, banking, and corporate finance. I am a member of the editorial board of The British Accounting Review and a Fellow of the Higher Education Academy (UK).

I have received funding for my research from the European Commission (SHIFT project) and the Deutsche Bundesbank. I have been a visiting scholar at the Deutsche Bundesbank and I have held visiting teaching appointments at universities in France, Italy, and China.

My research has been published in leading academic journals such as the Review of Financial Studies, the Journal of Financial and Quantitative Analysis and the Journal of Financial Intermediation. My work has been presented at global prestigious conferences, such as the annual meetings of the European Finance Association, the SFS Finance Cavalcade, the Financial Management Association, and the Royal Economic Society. Output from my research has also been disseminated in discussion papers of the Deutsche Bundesbank and the European Central Bank.

I have acted as a reviewer for the Financial Stability Working Paper Series of the Bank of England and for academic journals such as: Journal of Banking and Finance; Journal of Business Finance and Accounting; Regional Studies; British Accounting Review; Economics Letters; Finance Research Letters; The Manchester School; European Journal of Finance; Emerging Markets, Finance and Trade; Journal of Management and Governance; International Journal of Banking, Accounting and Finance; Economics Notes; Managerial Finance; Physica A: Statistical Mechanics and its Applications; Spatial Economic Analysis; Journal of Economics and Business; The Quarterly Review of Economics and Finance; Economics Bulletin.

Administrative Roles
Divisional Research Director (Finance, Risk and Banking)
I am module convenor of the following modules:


Corporate Finance (N13306)

Details of all modules can be found on MyNottingham

Current Research Activities
My published research has focused on four main themes:

1. The impact of stakeholder monitoring and risk-taking incentives in banking. The main findings of my work on bank dividend policy are contrary to the theoretical and empirical literature that studies dividend policy in non-financial and unregulated firms. My research on the impact of risk-taking incentives and managerial entrenchment on bank dividend policy suggests that public guarantees (both implicit and explicit) and government monitoring may be at the root of these findings. I also contribute to the market discipline literature by providing evidence supporting the view that non-depositors may influence bank conduct.

2. The impact of bank regulation and supervision on capital markets and economic growth. The first part of this body of research employs event study methodology to study the determinants of share price reactions to announcements related to changes in international bank liquidity regulation. The second part employs instrumental variables estimation to investigate the real effects of enforcement actions on US banks, and shows that enforcement actions impose temporary negative shocks to local economic activity.

3. The impact of International Financial Reporting Standards (IFRS) on European capital markets. This strand of research highlights the heterogeneous impact of the introduction of IFRS in the European Union. I focus on value relevance (i.e., the degree to which accounting numbers are reflected in stock prices) and the market reaction to changes in the accounting principles for financial instruments.

4. The time-series properties of equity returns, in particular long memory and multifractality. I have investigated the extent to which equity markets are informationally efficient using a range of estimators of long memory and multifractality. In the Econophysics literature, long memory (or "unifractality") and multifractality in stock market returns are believed to be negatively correlated with market efficiency. I have also investigated the properties of several estimators of long memory and multifractality.

Publications from 2005 to the present day

Journal Articles

Bruno, B., Onali, E., Schaeck, K. (2018), "Market Reaction to Bank Liquidity Regulation", Journal of Financial and Quantitative Analysis, Vol.53 (2), 899-935.

Danisewicz, P., McGowan, D., Onali, E., Schaeck, K. (2018), "Debt Priority Structure, Market Discipline and Bank Conduct", The Review of Financial Studies, Vol.31 (11), 4493-4555.

Danisewicz, P.; McGowan, D.; Onali, E.; Schaeck, K. (2018), "The Real Effects of Banking Supervision: Evidence from Enforcement Actions", Journal of Financial Intermediation, Vol.Volume 35, Part A, 86-101, forthcoming 2018.

Onali, E., Ginesti, G., Ballestra, L. V. (2017), "Investor reaction to IFRS for financial instruments in Europe: The role of firm-specific factors", Finance Research Letters, Vol.21, 72-77.

Onali, E., Ginesti, G., Vasilakis, C. (2017), "How should we estimate value-relevance models? Insights from European data", British Accounting Review, Vol.49 (5), 460-473.

Goddard, J., Onali, E. (2016), "Long memory and multifractality: A joint test", Physica A: Statistical Mechanics and Its Applications, Vol.451, 288-294.

Onali, E. (2016), "Can we predict dividend cuts?", Economics Letters, Vol.146, 71-76.

Onali, E., Galiakhmetova, R., Molyneux, P., Torluccio, G. (2016), "CEO power, government monitoring, and bank dividends", Journal of Financial Intermediation, Vol.27, 89-117.

Onali, E. (2014), "Moral Hazard, Dividends, and Risk in Banks", Journal of Business Finance and Accounting, Vol.41 (1-2), 128-155.

Onali, E., Ginesti, G. (2014), "Pre-adoption market reaction to IFRS 9: A cross-country event-study", Journal of Accounting and Public Policy, Vol.33, 628-637.

Goddard, J., Onali, E. (2012), "Short and long memory in stock returns data", Economics Letters, Vol.117 (1), 253-255.

Goddard, J., Onali, E. (2012), "Self-affinity in Financial Asset Returns", International Review of Financial Analysis, Vol.24, 1-11.

Onali, E., Goddard, J. (2011), "Are European equity markets efficient? New evidence from fractal analysis", International Review of Financial Analysis, Vol.20 (2), 59-67.

Devalle, A.; Onali, E.; Magarini, R. (2010), "Assessing the Value Relevance of Accounting Data After the Introduction of IFRS in Europe", Journal of International Financial Management & Accounting, Vol.21(2), 85-119.



Nottingham University Business School

Jubilee Campus

telephone: +44 (0) 115 846 6602
fax: +44 (0) 115 846 6667