HedgingDynamic Moral HazardRecursive ContractsLiquidity ProvisionI study the implications of agency frictions for the pricing policy of institutional market makers. In a setting where a market maker cannot observe the actions of an employed trader, I derive the optimal compensation structure and pricing ...
When the trader's compensation is optimally deferred according to order flow, market making efficiency is improved and the quoted spreads are minimized. In other words, optimizing trader compensation leads to a liquidity gain. 展开 关键词: Market Making Hedging Dynamic Moral Hazard Recursive Contracts...
Agency conflicts, financial constraints, and dynamic q-theory Agency conflictFinancing uncertaintyInvestmentCash holdingDynamic hedgingAgency conflicts generate more volatile investments.Financial constraints serve as a market ... S Zhao,B Shi - 《Economics Letters》 被引量: 0发表: 2024年 A Literature ...
But what stands out about Heinen is his smarts and offensive creativity. He’s not this explosive, dynamic presence who grabs the spotlight and demands your attention when he’s on the ice, but when you watch him closely, he’s always around the puck and tends to own the walls when a ...
As a consequence, the asset side and the liability side always move in the same direction, and the Debt Agency enjoys a situation of ‘near natural hedging’ (see AppendixA.3, prop. 12). 3.3Solvency capital In its operating model, the Debt Agency conceives the default event of a Member...
Keywords: hedging; agency costs; market friction; corporate finance 1. Introduction Companies with operations that generate revenue and expense streams in foreign currencies are susceptible to variations in exchange rates prompted by changes in relative interest rates and other factors. Those changes, kno...
International Funds Management: A session on global fund management featured speakers from Union Bancaire Privée (UBP) and Lee & Lee law firm. They covered essential topics such as economic market outlooks, financial laws, investment structures, and FX hedging, providing participants with a global ...
Taking the climate risk out of transplanted and direct seeded rice: Insights from dynamic simulation in Eastern India Rice productivity in Eastern Indo-Gangetic plains (EIGP) is extremely low, in part due to the prevailing practice of cultivating long-duration transplanted... Balwinder-SinghMcDonald...