Greenwood, Robin; Vissing-Jørgensen, Annette - 2018
-habitat demand by the P&I sector for long-dated assets drives the long end of the yield curve. We draw on changes in regulations in … and to show that P&I demand is in part driven by hedging linked to the regulatory discount curve. When regulators reduce … the dependence of the regulatory discount curve on a particular security, P&I demand for the security falls and its yield …