Credit markets and financial information
Journal
Review of Accounting Studies
Subject
Accounting
Publishing details
Review of Accounting Studies 2011:16 p 487-500
Authors / Editors
Lok S;Richardson S A
Biographies
Publication Year
2011
Abstract
The last decade has seen rapid growth in trading of credit instruments on secondary markets. The ensuing availability of a rich set of credit market data has created a novel environment for testing a variety of financial economic theories. In this discussion, we provide a simple framework for linking asset pricing research using equity and credit market data and offer some suggestions for future archival empirical research aiming to establish relations between financial information and credit markets. Credit instruments are intrinsically linked to equity instruments. The strength of this link varies temporally and cross-sectionally in measurable ways that can, and should be, used to guide future empirical research linking information to credit markets.
Keywords
Information; Credit markets; Capital structure; CDS; Bonds
Available on ECCH
No