Secrets of Finances and Payday Loans

In the rest of this blog three models will be outlined in which the choice between limit and market orders is the key element of traders’ optimization strategies. The model by Parlour (1998) concentrates on the time priority rule, which governs limit order books, and shows how the choice between market and limit orders depends [...]

From the industry structure it becomes obvious that the average credit quality of the issuers in the US investment grade market is lower than in the Euro corporate bond market. The current rating of the Euro market is A, whereas it is only A_ in the US market. Over the last 5 years this differential [...]

The assessment of the macroeconomic environment results in a judgement of the stage of the business cycle and the leverage cycle. Valuation indicators help to form an opinion on the future direction of credit spreads. However, the magnitude of a change in spreads essentially depends on the market structure, especially the average credit quality and [...]