haku: @indexterm credit rating / yhteensä: 52
viite: 3 / 52
| Tekijä: | Massoud, N. (et al.) |
| Otsikko: | Do hedge funds trade on private information? Evidence from syndicated lending and short-selling |
| Lehti: | Journal of Financial Economics
2011 : MAR, VOL. 99:3 p. 477-499 |
| Asiasana: | syndicated loans finance market research equities credit rating |
| Kieli: | eng |
| Tiivistelmä: | This research paper examines an important contemporary issue relating to the involvement of hedge funds in the syndicated loan market. Particularly, it investigates the potential conflicts of interest which arise when hedge funds make syndicated loans and take short positions in the equity of borrowing firms. The evidence is found to be consistent with the short-selling of the equity of the hedge fund borrowers prior to public announcements of both loan originations and loan amendments. It is also found that hedge funds are more likely to lend to highly leveraged, lower credit quality firms, where access to private information is potentially the most valuable and where trading on such information could lead to enhanced profits. |
SCIMA