(Transaction volumes/totalassets)*i*,*<sup>t</sup>*

<sup>=</sup> *<sup>β</sup>*<sup>0</sup> <sup>+</sup> *<sup>β</sup>*1(netdeposit/depositand S.T funding)*i*,*t*−<sup>1</sup>

<sup>+</sup> *<sup>β</sup>*<sup>2</sup> (liquidityassets/depositand S.T funding)*i*,*t*−<sup>1</sup>

<sup>+</sup> *<sup>β</sup>*3(loan lossreserves/totalloan)*i*,*t*−<sup>1</sup> <sup>+</sup> *<sup>β</sup>*4(impairedloans/totalloan)*i*,*t*−<sup>1</sup>

<sup>+</sup> *<sup>β</sup>*5(capital adequacy ratio)*i*,*t*−<sup>1</sup> <sup>+</sup> *<sup>β</sup>*6(equities/assets)*i*,*t*−<sup>1</sup> <sup>+</sup> *<sup>β</sup>*7(CIR)*i*,*t*−<sup>1</sup>

$$+\beta s(\text{ROA})\_{i,t-1} + \varepsilon\_{i,t-1}$$

Here, (Transaction Volumes/Total Assets) *<sup>i</sup>*,*<sup>t</sup>* is the dependent variable. *β*<sup>0</sup> is a common intercept that is the same for all cross-section units and over time. *εi*, *<sup>t</sup>*−<sup>1</sup> is the cross-sectional error term. Decisions of securitization issuances are according to published financial statements. Since the securitization transaction volume is not synchronous with the current financial statement data, this paper expects that the securitization transaction volume/total assets is related to the explanatory variables at *t* − 1 (a quarterly ago). The variables in Equation (1) are calculated according to the above settings. The independent variable liquidity ratio is made up of a liquid assets/deposits and short-term funding ratio and a net loans/deposits and short-term funding ratio (see Table 1). The other three independent variables' calculations are the same as those for the liquidity ratio, which are the sum of two corresponding proxies. Equation (2) can provide a more intuitive analysis of these variable formations.
