Showing 1 - 10 of 40
I explore which firm and loan characteristics decrease or exacerbate information asymmetry in the trading of private debt. I find that loans of public firms, loans with an available credit rating, loans of profit firms and loans syndicated by more reputable arrangers are traded at lower bid-ask...
Persistent link: https://www.econbiz.de/10012774325
We delineate key channels through which flows of confidential information to loan syndicate participants impact the dynamics of information arrival in prices. We isolate the timing of private information flows by estimating the speed of price discovery over quarterly earnings cycles in both...
Persistent link: https://www.econbiz.de/10012746729
In this paper, I exploit the syndicated loan market to explore the impact of information asymmetry on the cost of debt capital. As a measure of information asymmetry associated with a borrowing firm, I use the bid-ask spread on the firm's loans traded on the secondary loan market. I find that a...
Persistent link: https://www.econbiz.de/10012720534
Persistent link: https://www.econbiz.de/10010723655
Persistent link: https://www.econbiz.de/10010723950
I employ unique data on secondary loan trades to explore how information asymmetry and the quality of financial reporting affect the trading spreads of private debt securities. There are two primary findings. First, the bid-ask spread in secondary loan trading is positively related to firm and...
Persistent link: https://www.econbiz.de/10010724194
Persistent link: https://www.econbiz.de/10008146743
Persistent link: https://www.econbiz.de/10008320461
Persistent link: https://www.econbiz.de/10008892922
<heading id="h1" level="1" implicit="yes" format="display">ABSTRACT</heading>This study uses a large sample of sell-side bond analysts' reports to examine the properties of recommendations provided by bond analysts and the impact of these recommendations on bond securities. First, we document that the distribution of bond analysts' buy, hold, and sell...
Persistent link: https://www.econbiz.de/10008479732