Research Summary: When evaluating Internet-based loan project of small and medium size firms (SME), lenders can rely on easy-to-understand risk ratings or more sophisticated financial information. We investigate lenders decisions and its effect on loan funding success on the marketplace lending...

I explore the determinants, characteristics and performance of direct corporate loans, that is, loans originated by nonbank institutional investors without banks' intermediation. In the aftermath of the financial crisis, direct lending has been the most rapidly growing credit market segment. I...

This is an Internet Appendix with additional tables for Zhang, Zhang, and Zhao (2022, available at https://ssrn.com/abstract=3519341). The abstract of the paper is as follows:Using a dataset on syndicated loan primary market pricing adjustments, we examine whether relationship banks’...

We examine the effect of open market share repurchase announcements on prices of traded loans and find a significant wealth transfer effect; the change in the market value of equity is inversely related to the change in the market value of loans. We find that loan abnormal returns are more...

We test whether bank loans change public bond yields. A 10% increase in bank debt raises bond yields by 15bps, reflecting a trade-off between the benefits of bank cross-monitoring and higher bond risk. This effect is smaller for firms with no CDS and junk debt, where bank monitoring is most...

Past bank-firm lending relationships affect the probability of choosing a bank as debt-underwriter. However, there is no evidence regarding how these relationships may influence the decision to syndicate the issuance; nor is there evidence of their effect on the syndicate formation. Using a sample...

For ten years interest rates in the Eurozone have been declining. This has created a situation where loan or bond prepayments and subsequent refinancing transactions are potentially beneficial for debtors. The advantageousness depends on the costs induced. We analyze the favorability of debt...

Corporate bond markets are a growing source of funding for companies throughout the world. How does a firm's debt structure affect the transmission of monetary policy? This paper sheds light on a new corporate finance mechanism in which monetary policy disproportionately impacts bond-financed...