-levering procedure is around for the case of risk-free debt. The procedure for risky debt is much less clear even under very simplifying …

, evident in data from both the U.S. and Europe. Firms with medium leverage avoid risk to preserve the option of issuing safe … by debt-holders due to future risk-taking incentives. Our model offers new insights on the interaction between companies …' debt financing and their risk profiles. …

We examine how debt rollover risk affects firms' capital structure following aggregate economic shocks. Using the COVID …-19 shock and a text-based measure of earnings calls, we find firms increase leverage by 7.4 percentage points when they … are highly exposed to both rollover risk as well as fundamental profitability shocks compared to less exposed firms …

The significant excess of the price of risk, research question in the version paper, [S. Chule, in Applied Mathematical … Finance, submitted June 2016], is space-domain form re-evaluated into the stochastic problem objective of the premium risk …. The adapts of the conventional generic replication method for the volatility risk is dissipative on the structure of the …

firm-level capital investment, risk management, and debt issuance. The effects of uncertainty vary significantly by firm … capital investment is significantly weaker for firms that hedge their output price risk. Our analysis highlights that, in the … ability to hedge risk exposures …

's risk-taking incentive and investment choice. We find the average chief executive officer's (CEO) compensation contract …

The interaction of capital and risk for trading and treasury units is of primary interest in the corporate governance … of banks as it links operational profitability and strategic risk management. During the financial crisis, several banks …' trading units suffered significantly higher losses than their risk capital charged based on value-at-risk constraints. There …

We examine how a firm's operational slack is associated with current income and future stock price crash risk. By doing … Slack, which is based on excess working capital, is associated with higher current profits and higher future crash risk …, general, and administrative expenses, is associated with lower current income and lower future crash risk. This evidence is …