This paper deals with an event study assessing the influence of covered bond issuance on European banks? share prices. Covered bonds are debt securities backed by mortgages. In contrast to CDOs, mortgages remain on the issuer?s consolidated balance sheet. We show that successful covered bond issuances have a positive influence on issuers? share prices with a three days? delay. So, the stock market reacts not to the issuance announcement but to the success of the issuance.Keywords: Covered bonds; Issuance; Event study; Subprime mortgage crisis.JEL codes: G010, G140
Auteurs :Morvan Jérémy Extrait de la revue BMI 120
The Performance of Islamic Investment: Evidence from the Dow Jones Islamic Indexes Volatility Strategies for Global and Country Specific European Investors Problem Loans in the MENA Countries: Bank Specifi c Determinants and the Role of the Business and the Institutional Environment Short Term Wealth Creation Sustainability of French Acquirers of Unlisted versus Listed Firms Financial flexibility
The Performance of Islamic Investment: Evidence from the Dow Jones Islamic Indexes Volatility Strategies for Global and Country Specific European Investors Problem Loans in the MENA Countries: Bank Specifi c Determinants and the Role of the Business and the Institutional Environment Short Term Wealth Creation Sustainability of French Acquirers of Unlisted versus Listed Firms Financial flexibility
The Performance of Islamic Investment: Evidence from the Dow Jones Islamic Indexes Volatility Strategies for Global and Country Specific European Investors Problem Loans in the MENA Countries: Bank Specifi c Determinants and the Role of the Business and the Institutional Environment Short Term Wealth Creation Sustainability of French Acquirers of Unlisted versus Listed Firms Financial flexibility
