Sign in to use this feature.

Years

Between: -

Subjects

remove_circle_outline
remove_circle_outline

Journals

Article Types

Countries / Regions

Search Results (1)

Search Parameters:
Keywords = default risks
Page = 2

Order results
Result details
Results per page
Select all
Export citation of selected articles as:
42 pages, 263 KB  
Article
Corporate Governance and Corporate Creditworthiness
by Dror Parnes
J. Risk Financial Manag. 2011, 4(1), 1-42; https://doi.org/10.3390/jrfm4010001 - 31 Dec 2011
Viewed by 5810
Abstract
We examine the relation between corporate governance and bankruptcy risk as an underlying force affecting a bond’s yield. The level of corporate governance is captured by the G-index, along with the explicit groups of governance provisions. We estimate bankruptcy risk by Z-score, by [...] Read more.
We examine the relation between corporate governance and bankruptcy risk as an underlying force affecting a bond’s yield. The level of corporate governance is captured by the G-index, along with the explicit groups of governance provisions. We estimate bankruptcy risk by Z-score, by cash-flow-score, by O-score, through Merton structural model default probabilities, and by S&P credit ratings. After addressing endogeneity and while controlling for firm-specific factors, based on the four objective methodologies we find that corporate governance is inversely related to bankruptcy risk. Yet, rating agencies take a mixed approach towards this association likely because of the conflicting impact of different governance provisions. Full article
Back to TopTop