{"product_id":"divergence-of-risk-measures-across-different-market-conditions-von-boriana-borissova","title":"Divergence of Risk Measures across Different Market Conditions","description":"\u003cp\u003eIn the following work we analyze the nature and  dynamics of bond pricing in the European banking  industry. In particular, we empirically investigate  the relationship between the bond spread and the  corresponding credit rating in light of different  market conditions. Three important results emerge  from our analysis. First, risk measures'' divergence  tends to be higher in relatively opaque markets  where corruption, legal and accounting  inefficiencies are present. Furthermore, the  difference between the two indicators is proved to  be affected by the quality of credit information  available to market participants. Last but not  least, such a divergence is likely to be higher in  periods of market downturn and lower in periods of  economic prosperity. These results have interesting implications for the interpretation of the  explanatory power of risk sensitivity models in a  market discipline context.\u003c\/p\u003e\u003cdiv class=\"aw-variant-hidden-subtitle-div\" id=\"aw-variant-subtitle-9783844318241\"\u003e\u003ch3\u003eThe nature and dynamics of bond pricing in the European Banking industry\u003c\/h3\u003e\u003c\/div\u003e","brand":"Autorenwelt Shop","offers":[{"title":"Softcover - 9783844318241","offer_id":39495970521181,"sku":"9783844318241","price":49.0,"currency_code":"EUR","in_stock":true}],"thumbnail_url":"\/\/cdn.shopify.com\/s\/files\/1\/0940\/0622\/files\/b3a9368f-a789-459b-8bc1-aba320213fa6.jpg?v=1757914336","url":"https:\/\/shop.autorenwelt.de\/products\/divergence-of-risk-measures-across-different-market-conditions-von-boriana-borissova","provider":"Autorenwelt Shop","version":"1.0","type":"link"}