Do banks and industrial companies have equal access to reputable underwriters in debt markets?

Research output: Contribution to journalArticlepeer-review

Standard Standard

Do banks and industrial companies have equal access to reputable underwriters in debt markets? / Carbo-Valverde, Santiago; Cuadros Solas, Pedro; Rodríguez-Fernández, Francisco.
In: Journal of Corporate Finance, Vol. 45, 08.2017, p. 176-202.

Research output: Contribution to journalArticlepeer-review

HarvardHarvard

Carbo-Valverde, S, Cuadros Solas, P & Rodríguez-Fernández, F 2017, 'Do banks and industrial companies have equal access to reputable underwriters in debt markets?', Journal of Corporate Finance, vol. 45, pp. 176-202. https://doi.org/10.1016/j.jcorpfin.2017.04.015

APA

Carbo-Valverde, S., Cuadros Solas, P., & Rodríguez-Fernández, F. (2017). Do banks and industrial companies have equal access to reputable underwriters in debt markets? Journal of Corporate Finance, 45, 176-202. https://doi.org/10.1016/j.jcorpfin.2017.04.015

CBE

Carbo-Valverde S, Cuadros Solas P, Rodríguez-Fernández F. 2017. Do banks and industrial companies have equal access to reputable underwriters in debt markets?. Journal of Corporate Finance. 45:176-202. https://doi.org/10.1016/j.jcorpfin.2017.04.015

MLA

Carbo-Valverde, Santiago, Pedro Cuadros Solas and Francisco Rodríguez-Fernández. "Do banks and industrial companies have equal access to reputable underwriters in debt markets?". Journal of Corporate Finance. 2017, 45. 176-202. https://doi.org/10.1016/j.jcorpfin.2017.04.015

VancouverVancouver

Carbo-Valverde S, Cuadros Solas P, Rodríguez-Fernández F. Do banks and industrial companies have equal access to reputable underwriters in debt markets? Journal of Corporate Finance. 2017 Aug;45:176-202. Epub 2017 Apr 27. doi: 10.1016/j.jcorpfin.2017.04.015

Author

Carbo-Valverde, Santiago ; Cuadros Solas, Pedro ; Rodríguez-Fernández, Francisco. / Do banks and industrial companies have equal access to reputable underwriters in debt markets?. In: Journal of Corporate Finance. 2017 ; Vol. 45. pp. 176-202.

RIS

TY - JOUR

T1 - Do banks and industrial companies have equal access to reputable underwriters in debt markets?

AU - Carbo-Valverde, Santiago

AU - Cuadros Solas, Pedro

AU - Rodríguez-Fernández, Francisco

PY - 2017/8

Y1 - 2017/8

N2 - We analyze whether banks and industrial companies have equal access to debt markets through reputable underwriters and explore the determinants of that matching for both types of firms. Using a sample of European corporate bonds during the years 2003-2013, we find that the odds of matching with a reputable underwriter were about 1.5 times greater for non-financial companies than for banks. The odds of matching with a reputable underwriter were 10.92 times lower for a bank during the crisis. As for the determinants of the matching probability, the marginal effect of the bond size on the matching probability is 1.70 larger for non-financial firms than for banks. Furthermore, the effect of bond size is greater for large non-financial companies than for large banks while the effect of maturity is larger for banks than for non-financial companies.

AB - We analyze whether banks and industrial companies have equal access to debt markets through reputable underwriters and explore the determinants of that matching for both types of firms. Using a sample of European corporate bonds during the years 2003-2013, we find that the odds of matching with a reputable underwriter were about 1.5 times greater for non-financial companies than for banks. The odds of matching with a reputable underwriter were 10.92 times lower for a bank during the crisis. As for the determinants of the matching probability, the marginal effect of the bond size on the matching probability is 1.70 larger for non-financial firms than for banks. Furthermore, the effect of bond size is greater for large non-financial companies than for large banks while the effect of maturity is larger for banks than for non-financial companies.

KW - Underwriter reputation

KW - Corporate bonds

KW - Assymmetires

KW - Banks

KW - Underwriting

U2 - 10.1016/j.jcorpfin.2017.04.015

DO - 10.1016/j.jcorpfin.2017.04.015

M3 - Article

VL - 45

SP - 176

EP - 202

JO - Journal of Corporate Finance

JF - Journal of Corporate Finance

SN - 0929-1199

ER -