Hidden Bibliographic Details
| Other authors / contributors: | Santos, André, author.
IMF Institute.
International Monetary Fund.
|
|---|
| ISBN: | 1282413783
9781282413788
9781451918953
145191895X
9781451874372
1451874375
|
|---|
| Notes: | Includes bibliographical references (pages 27-29).
Restrictions unspecified
Electronic reproduction. [Place of publication not identified] : HathiTrust Digital Library, 2010.
Master and use copy. Digital master created according to Benchmark for Faithful Digital Reproductions of Monographs and Serials, Version 1. Digital Library Federation, December 2002. http://purl.oclc.org/DLF/benchrepro0212
digitized 2010 HathiTrust Digital Library committed to preserve
Print version record.
|
|---|
| Summary: | This paper analyzes the price stabilizing properties of puttable and extendible bonds, their potential to help develop interest-rate derivative markets, and their use by governments. Their stabilizing properties imply that, when bond prices fall, prices for puttable and extendible bonds fall by less. Their embedded options work as a cushion and replicate the trading gains from hedging long-term bonds with interest rate derivatives. These bonds can help develop interest-rate derivative markets in developing countries and eventually increase demand for long-term government bonds. Informal evidence from OECD countries suggests that these bonds were useful in the 1980s, when interest rates were volatile.
|
|---|
| Other form: | Print version: Neftci, Salih N. Puttable and extendible bonds. Washington, D.C. : International Monetary Fund, ©2003
|
|---|
| Standard no.: | 10.5089/9781451918953.001
|
|---|
