Indian Capital Market is well structured and well developed in terms of size, turnover and regulatory measures. Always Indian Corporate bond market is criticized as underdeveloped as compared to other countries. Despite various initiatives undertaken in the past, there is a little change in the...

In this article, we analyze risk premia and time varying risk of US closed-end bond funds markets. Pessimism or optimism may drive prices far-away from their fundamental. An arbitrageur buying or selling an asset has to be cautious and limited about his investment positions. Noise traders could...

This article documents the difference in corporate bond issuance between the euro area (EA) and the United States (US) in 2020, especially in the high-yield (HY) segment, and discusses the role that the monetary policy measures undertaken by the US Federal Reserve (Fed) and the ECB in response...

Green bonds are about a decade old financial instrument with cash flows earmarked to improve the environment or combat climate change. We show the spectacular growth of the asset class over time, but note that it is currently still less than 1% of the entire fixed income market. The composition...

The Eurosystem purchased €178 billion of corporate bonds between June 2016 and December 2018 under the Corporate Sector Purchase Programme (CSPP). Did these purchases lead to a deterioration of liquidity conditions in the corporate bond market, thus raising concerns about unintended...

This papers analyzes the effect of the ECB’s Corporate Sector Purchase Programme (CSPP) and the recent Pandemic Emergency Purchase Programme (PEPP) on the yields of eligible green bonds, a new but rapidly growing segment of the corporate bond market. We exploit these policy changes using a...

The Chinese bond market is experiencing substantial financial growth. This is evidenced by its opening up to foreign investors who are taking advantage of new investment opportunities in China’s long-term expanding economy. There has been a change in the financial policies of China’s bond...

This paper examines the duration hedging behavior in the corporate bond market by studying the investment decisions of life insurance companies, the largest institutional investor in this market. Using security-level data on insurers' bond holdings, I find that life insurers are tilting their...

Taking the first bond defaults in each province in China as credit events, we adopt a difference-in-difference model and find that credit spreads of other corporate bonds in the same province increase by 6 basis points on the first default event day, suggesting a spillover effect. The spillover...

We propose the Corporate Bond Market Distress Index (CMDI) to quantify corporate bond market dislocations in real time. The index takes a preponderance-of-metrics perspective to combine a broad set of measures of market functioning from primary and secondary markets but not driven by any one...