Can Managers Successfully Time The Maturity Structure of Their Debt Issues ?  

Oleh:

Weston, James P. ; Grullon, Gustavo ; Butler, Alexander W.

Jenis: Article from Journal - ilmiah internasional
Dalam koleksi: The Journal of Finance (EBSCO) vol. 61 no. 4 (Agu. 2006), page 1731-1758.
Topik: MATURITY STRUCTURE; studies; regression analysis; market timing; correlation analysis; rates of return; investment policy; debt financing
Fulltext: p 1731.pdf (250.5KB)

Ketersediaan

Perpustakaan Pusat (Semanggi) Nomor Panggil: JJ88 Non-tandon: 1 (dapat dipinjam: 0) Tandon: tidak ada

Lihat Detail Induk

Isi artikel

This paper provides a rational explanation for the parent ability of managers to successfully time the maturity of their debt issues. We show that a structural break in excess bond returns during the early 1980s generates a spurious correlation between the fraction of long - term debt in total debt issues and future excess bond returns. Contrary to Baker, Taliaferro, and Wurgler (2006), we show that the presence of structural breaks can lead to nonsense regressions, whether or not there is any small sample bias. Tests using firm - level data further confirm that managers are unable to time the debt market successfully.

Opini Anda

Klik untuk menuliskan opini Anda tentang koleksi ini!

Kembali