Impact of declining interest rates on European primary bond market
Journal: Investment Management and Financial Innovations (Vol.14, No. 2)Publication Date: 2017-08-22
Authors : Robert Verner; Peter Remiáš;
Page : 328-335
Keywords : bond; interest rates; public offering; swap;
Abstract
The aim of this paper is to examine the growing popularity of debt financing in European based subjects. The development of issued volume was examined on the sample of 9,293 public debt offerings denominated in EUR issued between 30th November 2007 and 30th November 2016 and the impact of declining market interest rates on primary bond market was explored. More than 7.666 trillion EUR of debt were analyzed and the results indicate that despite low interest rates, the volume of issued bonds does not increase over time. Decline of interest rates only compensates slow economic growth as well as increasing global market and political risks.
Other Latest Articles
- Return prediction in small capitalization companies on the Johannesburg Stock Exchange
- Does insurance hedge macro volatility? Global evidence
- Failure prediction of government funded start-up firms
- Bond yields and stock returns comparison using wavelet semblance analysis
- A Rare isolate of Kocuria kristinae in Catheterized Patient
Last modified: 2018-03-14 21:58:07