Bond Price Dynamics and Options
Article Abstract:
Examination is made of the equilibrium valuation of options written on default-free pure discount bonds. The formula is preference-free, closed-form and may be implemented without numerical procedures. Consideration must be given to terminal constraints on the value of financial structures.
Publication Name: Journal of Financial and Quantitative Analysis
Subject: Business
ISSN: 0022-1090
Year: 1983
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Eventually, something has to give, right? Fiddling while loans burn
Article Abstract:
Speculative-grade bonds in the U.S. are trading at only 3% points above similar-maturity Treasury bonds, as credit spreads recently hit record lows. Details the reasons for low spreads, default rates and other economic concerns are discussed.
Publication Name: Treasury & Risk
Subject: Business
ISSN:
Year: 2007
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