This study analyses how liquidity risk affects bonds' yield spreads after controlling for credit risk, bond …-specific characteristics and macroeconomic variables. Using two liquidity estimates, LOT liquidity and the bid-ask spread, we find that, in … particular, the LOT liquidity measure has explanatory power for the yield spread of green bonds. Overall, however, the impact of …

The convention in calculating trading costs in corporate bond markets is to assume that dealers provide liquidity to … provide liquidity in corporate bond markets, and thus, average bid-ask spreads underestimate trading costs that customers … results indicate that liquidity decreased in corporate bond markets and can help explain why despite the decrease in dealers …

-09 financial crisis is often attributed to corporate bond dealers shedding off their inventory, right when liquidity was scarce …. Corporate bond inventory of dealers rose sharply as a result. Although providing liquidity, limits to arbitrage, possibly in the …The misalignment between corporate bond and credit default swap (CDS) spreads (i.e., CDSbond basis) during the 2007 …

the impact on credit quality of bank portfolios and their loss provisions is not clear at all. To study the impact of … emergency liquidity and lending we introduce an instrumental variable, responsible for available emergency liquidity, into the … account for emergency liquidity (ELA) presence. We showed that given the limited amount of relevant historical data, ignoring …