Corporate Leverage, Debt Maturity, and Credit Supply: The Role of Credit Default Swaps

• 成果类型: Article
• 署名作者: Saretto, Alessio; Tookes, Heather E.
• 署名单位: University of Texas System; University of Texas Dallas; Yale University
• 刊物名称: REVIEW OF FINANCIAL STUDIES
• ISSN/ISSBN: 0893-9454
• DOI: 10.1093/rfs/hht007
• 发表日期: 2013
• 页码: 1190
• 关键词: LENDING RELATIONSHIPS; GROWTH OPPORTUNITIES; capital structure; liquidity risk; determinants; CHOICE; derivatives; INVESTMENT; terms

摘要

Does the ability of suppliers of corporate debt capital to hedge risk through credit default swap (CDS) contracts impact firms' capital structures? We find that firms with traded CDS contracts on their debt are able to maintain higher leverage ratios and longer debt maturities. This is especially true during periods in which credit constraints become binding, as would be expected if the ability to hedge helps alleviate frictions on the supply side of credit markets.