Equity matters

Hedging credit: Equity liquidity matters

a r t i c l e i n f o a b s t r a c t We theorize and confirm a new channel by means of which liquidity costs are embedded in CDS spreads. We show that credit default swap (CDS) spreads are directly related to equity market liquidity in the Merton [Merton, R.C., 1974. On the pricing of corporate debt: The risk structure of interest rates. J. Finance 29, 449–470] model via hedging. We confirm th...

Industrial Specialization Matters: A New Angle on Equity Home Bias

This paper theoretically and empirically examines how industrial structure affects equity home bias. I embed portfolio choice in a multi-country, multi-sector Eaton-Kortum model in order to explore how sectoral productivity differences affect a country’s risk exposure and hence influence home bias. The model predicts that investors from highly specialized economies who want to hedge their risk ...

Structure Matters: Twenty-One Teaching Strategies to Promote Student Engagement and Cultivate Classroom Equity

As a biology education community, we focus a great deal of time and energy on issues of “what” students should be learning in the modern age of biology and then probing the extent to which students are learning these things. Additionally, there has been increased focus over time on the “how” of teaching, with attention to questioning the efficacy of traditional lecture methods and exploring new...

Consortium for Research on Educational Access, Transitions and Equity Size Matters for EFA

Credit Rating Matters in Contrarian Return –evidence from the Japanese Equity Market–

Although previous research has reported that the momentum strategy is effective in the US equity market, the contrarian strategy is effective in the Japanese equity market. The current research illuminates the relationship between the return found with the contrarian strategy (contrarian return) and credit rating in the Japanese equity market. We empirically verify the relationship between thes...