Title of article :
Has theCDSmarketloweredthecostofcorporatedebt
Author/Authors :
AdamB.Ashcraft ، نويسنده , , Joa?o A.C.Santos، نويسنده ,
Issue Information :
روزنامه با شماره پیاپی سال 2008
Abstract :
Manyhaveclaimedthatcreditdefaultswaps(CDSs)haveloweredthecostofdebt
financingtofirmsbycreatingnewhedgingopportunitiesandinformationforinvestors.
This paperevaluatestheimpactthattheonsetofCDStradinghasonthespreadsthat
underlyingfirmspaytoraisefundinginthecorporatebondandsyndicatedloan
markets.Employingarangeofmethodologies,wefailtofindevidencethattheonsetof
CDS tradinglowersthecostofdebtfinancingfortheaverageborrower.Further,we
uncovereconomicallysignificantadverseeffectsonriskyandinformationallyopaque
firms.
Keywords :
Credit defaultswapsLoan spreadsCredit spreads
Journal title :
Journal of Monetary Economics
Journal title :
Journal of Monetary Economics
