Ensuring the issuance of investment-attractive corporate bonds

The Variety of Maturities Offered by Firms and Institutional Investment in Corporate Bonds

We study how a firm’s decision to offer bonds of various maturities affects the portfolio allocations of institutional investors. We argue that because of lower information-collection costs, institutional investors tilt their portfolios towards firms that offer bonds of various maturities. We show that this translates into lower bond yields, both in the primary and in the secondary bond markets...

SELF-DEALING IN SECURITIES ISSUANCE Evidence from U.S. State Bonds

Self-dealing in securities issuance can be characterized by an issuing manager who gains at the expense of the other existing stakeholders in the issue. The current system of public securities issuance for U.S. states potentially allows for conflict of interest through campaign contributions that benefit issuing officials. This paper shows that selecting a contributing underwriter through negot...

Factors Affecting the Valuation of Corporate Bonds

On the Valuation of Corporate Bonds

Euro Corporate Bonds Risk Factors ∗

This paper investigates the determinants of credit spread changes on bonds denominated in Euro. The analysis is carried out using a panel data on Euro bonds. We try to asses the relative importance of market and idiosyncratic factors in explaining the movements in credit spread. Because credit spread changes can be easily viewed as an excess return of corporate bonds over treasury, we adopt a f...