Household is about to default on its bonds. Or at least that’s what might be inferred by looking at its spreads towards the end of October. The US consumer finance company’s benchmark 10-year bonds, ...

AerCap has made several transformative acquisitions. Book value continues to grow despite the occurrence of risk events. The post-pandemic dynamics are extremely attractive for the aircraft lessor ...

The company has declined 84% YTD. The company is sitting on a cash pile of $109m and generates $10m in FCF per year while the market cap sits at $50m. Many use these facts to argue that the company is ...

Colorado Fire & Police Pension Association, Greenwood Village, invested $30 million in Hudson Bay Cap Structure Arbitrage Enhanced Fund, a hedge fund managed by Hudson Bay Capital Management, said ...

The article examines the risk and return of capital structure arbitrage, which exploits the mispricing between a company's credit default swap (CDS) spread and equity price. The analysis uses the ...

Credit hedge funds and proprietary trading desks are starting to encroach on the trades once reserved for the distressed, equity long/short and merger arbitrage funds. US airline companies have been ...

SunGard today announced the availability of a new version of Monis XL, a leading pricing, analysis and hedging solution for convertible bonds and other equity-linked securities. Version 8.0 includes ...

Last week, Arik Hesseldahl, opens new tab — a tech writer who’s the first to admit he’s no expert on finance — discovered the wonderful world of credit default swaps in general, and single-name CDS on ...

This paper develops a new theory of the capital structure of parent-subsidiary organizations based on legal-system arbitrage: the capital structure of parent-subsidiary organizations is chosen to ...