• Out-of-Stock

Analyzing and Decomposing the Sources of Added-Value of Corporate Bonds [extrait BMI HS_BMI_2014]

Author :
€47.39
Quantity
Add to wishlist
Out-of-Stock

Version numérique PDF

This paper provides a formal analysis of the benefits of corporate bonds, distinguishing between the impact of introducing corporate bonds in performance-seeking portfolios and the impact of introducing corporate bonds in liability-hedging portfolios. We find that corporate bonds are well-suited to improve the interaction between performance and hedging motives, given that they have a well-controlled interest rate risk exposure while providing an access to an equity-like risk premium. They also allow for a more effective hedging of the liabilities when pension obligations are valued at adiscount rate equal to the market yield on AA bonds according to international accounting standards.Keywords: Corporate bonds; Sovereign bonds; Welfare gain.JEL classification: G11; G12.

Auteurs :Martellini Lionel
Extrait de la revue BMI HS_BMI_2014

BMIHS_BMI_2014-1116986
New

16 other products in the same category:

Bankers, Markets &...
  • Out-of-Stock
Availability: Out of stock

Sommaire

Articles

  • Editor’s letter
  • HFT and Market Quality
  • On the Financial Performance of Socially Responsible Investments
  • Pension Reform in The Netherlands: Attractive Options for other Countries?
  • French Pensions Framework in an International Perspective
  • Optimal Asset Allocation for Sovereign Wealth Funds: Theory and Practice
  • Asset Class Liquidity Risk
This website uses cookies to ensure you get the best experience on our website