Essays about: "The relationship between liquidity and risk"

Showing result 1 - 5 of 32 essays containing the words The relationship between liquidity and risk.

1. 1. Shareholder Advantage and Short-Term Leverage

   University essay from Handelshögskolan i Stockholm/Institutionen för finansiell ekonomi

   Author : Nikola Pajkic; Pratik Kulkarni; [2023]
   Keywords : Bargaining; Default; Debt maturity structure; Rollover risk;

   Abstract : We find a correlational relationship between proxies of shareholder bargaining power and liquidation costs (indicating the value extraction ability of shareholders from debtholders in reorganization in default) and short-term leverage. Theoretical literature suggests to us that firms with higher shareholder advantage will reduce their short-term leverage to a greater extent than those with lower shareholder advantage (due to shareholders disliking commitment to rollover risk) in a systemic shock to bond market liquidity, i. READ MORE

3. 2. Corporate Bond Inventories and Liquidity Risk Pricing

   University essay from Handelshögskolan i Stockholm/Institutionen för finansiell ekonomi

   Author : Omar Aboumaria; Alexander Ekman; [2022]
   Keywords : Liquidity risk; Corporate bond; Inventory cycles; Dealer Inventory;

   Abstract : This paper studies the pricing of liquidity risk in the cross section of corporate bonds for the period of October 2004 to December 2020 following the method presented by Lin et al. (2011). Furthermore, it examines the relationship between liquidity pricing and inventory cycles. READ MORE

4. 3. Is Illiquidity a Good Proxy for Risk? : Can illiquidity have an effect on growth firms' expected return?

   University essay from Linnéuniversitetet/Institutionen för ekonomistyrning och logistik (ELO)

   Author : Vilma Carlberg; Christina Gyllner; [2022]
   Keywords : AILLIQ; ILLIQ; risk; return; capital asset pricing model; liquidity; illiquidity; small-cap; t-test;

   Abstract : As previous researchers have discussed the paradigm of risk and return, this study also suggests illiquidity as a good proxy for risk. An illiquid asset, thus higher risk, should generate high return. READ MORE

5. 4. Has Risk Capital Increased Airlines Capabilities to Respond to Crisis

   University essay from Lunds universitet/Företagsekonomiska institutionen

   Author : Filip Blecher; Oskar Persson; [2021]
   Keywords : Economic capital; risk capacity; Covid-19; airline industry; financial constraints; Business and Economics;

   Abstract : Purpose: This paper aims to empirically investigate if pre-pandemic risk-capital was able to mitigate the negative impact of the COVID-19 pandemic on employees and investments in the airline industry Method: The base econometric methodology used is multiple regression analysis with the four risk capitals interacting with a dummy variable for the year 2020 when the COVID-19 pandemic hit. Theory: The broad theoretical framework is based on financial constraints and risk capital in the form of economic capital and risk capacity. READ MORE

6. 5. Modeling stock market liquidity using macroeconomic variables: Evidence from Sweden

   University essay from Lunds universitet/Nationalekonomiska institutionen

   Author : Robin Mannoun; David Sjöblom; [2021]
   Keywords : Stock Market Liquidity; Macroeconomy; Nasdaq Stockholm; Empirical Finance; Econometrics; Business and Economics; Mathematics and Statistics;

   Abstract : This paper contributes both to investigating the relationship between the macroeconomic environment and stock market liquidity and to reviewing existing empirical evidence related to this relationship. We develop and examine panel data regression models for stock market liquidity based on macroeconomic factors. READ MORE