The Maturity of Debt Issues and Predictable Variation in Bond Returns

By Malcolm Baker. 2003

202 citations recorded by the source corpus.

Subfields: Finance, Strategy and Management

View Paper: https://www.semanticscholar.org/paper/0399c207dc82a291ee47fb2c7651676d63552224

Citations in the corpus

• Issuer Quality and Corporate Bond Returns (2013, unknown): “This construction parallels the equity issuance-based “characteristic spreads” used in Greenwood and Hanson (2012).”
• Debt Maturity Structure and Credit Quality (2014, unknown): “…is that firms are more likely to issue short-term debt when long-term interest rates are high (based on the market-timing argument in, among others, Baker et al. (2003), Barclay and Smith (1995), and Guedes and Opler (1996)), but that high long-term interest rates do not directly lead to…”
• The Determinants of Corporate Debt Maturity Structure (2012, unknown): “Additionally, according to Baker et al. (2003) debt maturity is also related to debt market conditions, such as interest and inflation rates as well as a term spread.”
• What determines the speed of adjustment to the target capital structure? (2006, unknown): “18 See Baker et al. (2003) for similar evidence. They document that firms borrow long when debt market conditions suggest that the relative cost of long-term debt is low. 19 The evidence is not conclusive yet as to whether managers are in fact successful timers. Baker et al. (2003) report that firms”
• Testing Theories of Capital Structure and Estimating the Speed of Adjustment (2009, unknown): “Hovakimian (2006) and Kayhan and Titman (2007) suggest that the importance of the external finance weighted average of historical market-to-book ratios in Baker and Wurgler (2002) is driven by the mean value of historical market-tobook ratios.”
• UvA-DARE ( Digital Academic Repository ) Who times the foreign exchange market ? Corporate speculation and CEO characteristics (2015, unknown): “…(whether), we show that managers of large corporations time the foreign exchange market in adjusting currency hedging, thus adding to the extant evidence on equity and debt market timing (e.g., Graham and Harvey, 2001; Baker and Wurgler, 2002; Baker, Greenwood, and Wurgler, 2003; Faulkender, 2005).”
• Hedging or Market Timing? Selecting the Interest Rate Exposure of Corporate Debt (2005, unknown): “Baker, Greenwood, and Wurgler (2003) find that changes in aggregate debt maturity are negatively correlated with subsequent excess bond returns, consistent with firms trying to reduce their cost of capital through their maturity choice.”
• Leveraged Buyouts and Private Equity (2009, unknown): “(See Baker and Wurgler (2000) and Baker et al (2003) for arguments that public companies take advantage of market mispricing.)”