All Outputs (4)

Does derivatives use reduce the cost of equity? (2018)
Journal Article

This paper examines the impact of hedging on the cost of equity capital. Using handcollected data on derivatives use for a sample of German non-financial firms, we find that user firms have a 109 basis point lower industry-adjusted cost of equity tha... Read More about Does derivatives use reduce the cost of equity?.

Under the weight of numbers: far from being speculative, corporate hedging should be encouraged and exempt from the proposed transaction tax (2016)
Journal Article

A smoother ride: companies based in countries with bankruptcy procedures that favour creditors over shareholders have a greater incentive to hedge (2016)
Journal Article

In their seminal work, Nobel prize-winning economists Franco Modigliani and Merton Miller (M&M) argued that in a perfect capital market, where there are no taxes and no contracting costs, such as those associated with bankruptcy, a firm’s choice of f... Read More about A smoother ride: companies based in countries with bankruptcy procedures that favour creditors over shareholders have a greater incentive to hedge.

An empirical examination of the lead–lag relationship between spot and futures markets: evidence from Thailand (2014)
Journal Article

This study investigates whether a lead–lag relationship exists between the spot market and the futures market in Thailand during the period 2006 through 2012. In a rational, efficient market, returns on derivative securities and their underlying asse... Read More about An empirical examination of the lead–lag relationship between spot and futures markets: evidence from Thailand.