Héctor Pérez Saiz

Principal Researcher

Hector Perez Saiz is a Principal Researcher in the Financial Stability Department at the Bank of Canada. He is a microeconomist whose primary research interests center on the regulation and degree of competition of financial markets. Specific topics include clearing in over-the-counter markets, payment systems, and firm expansion. Hector Perez Saiz received his PhD in economics from the University of Chicago.


Héctor Pérez Saiz

Principal Researcher
Financial Stability
Payment Systems Oversight

Bank of Canada
234 Wellington Street
Ottawa, ON, K1A 0G9

Curriculum vitae


Credit Risk and Collateral Demand in a Retail Payment System

Staff Discussion Paper 2016-16 Héctor Pérez Saiz, Gabriel Xerri
The recent financial crisis has led to the development of new regulations to control risk in designated payment systems, and the implementation of new credit risk management standards is one of the key issues. In this paper, we study various credit risk management schemes for the Canadian retail payment system (ACSS) that are designed to cover the exposure of a defaulting member.

Measuring Systemic Risk Across Financial Market Infrastructures

Staff Working Paper 2016-10 Fuchun Li, Héctor Pérez Saiz
We measure systemic risk in the network of financial market infrastructures (FMIs) as the probability that two or more FMIs have a large credit risk exposure to the same FMI participant.

Emergency Liquidity Facilities, Signalling and Funding Costs

In the months preceding the failure of Lehman Brothers in September 2008, banks were willing to pay a premium over the Federal Reserve’s discount window (DW) rate to participate in the much less flexible Term Auction Facility (TAF). We empirically test the predictions of a new signalling model that offers a rationale for offering two different liquidity facilities.

Public Policy Objectives and the Next Generation of CPA Systems: An Analytical Framework

Staff Discussion Paper 2015-6 James Chapman, Jonathan Chiu, Sajjad Jafri, Héctor Pérez Saiz
The payments landscape in Canada is rapidly changing and will continue to evolve, fuelled by strong and persistent drivers. In Canada, the Canadian Payments Association (CPA) is on a path to modernize Canada’s core payment systems.

To Link or Not To Link? Netting and Exposures Between Central Counterparties

This paper provides a framework to compare linked and unlinked CCP configurations in terms of total netting achieved by market participants and the total system default exposures that exist between participants and CCPs.

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Other Publications

  • "Mobile Phone Mergers and Market Shares Short Term Losses and Long Term Gains"
    (joint with Jeremy Fox), NET Institute Working Paper 06-16

Refereed journals

Work in progress

  • "The Consolidation of the US Mobile Telephone Industry"
    (joint with Jeremy Fox, in progress)
  • "Being Local or Going Global? Competition and Entry Barriers in the Canadian Banking Industry"
    (joint with Hongyu Xiao) (The Wharton School)
  • "The Effect of Campaign Contributions on State Banking Regulation and Bank Expansion in the U.S."
    (joint with Aggey Semenov) (University of Ottawa)


  • Ph.D. (Economics), University of Chicago (2010)
  • M.A. (Economics), University of Chicago (2005)
  • M.A. (Economics), Toulouse School of Economics (2003)
  • B.S. (Electrical Engineering), Universidad Politecnica de Madrid (2000)

Research Interests

  • Financial market infrastructure
  • Banking
  • Industrial organization


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