TY  - UNPD
A1  - Pelizzon, Loriana
A1  - Riedel, Max
A1  - Simon, Zorka
A1  - Subrahmanyam, Marti G.
T1  - Collateral eligibility of corporate debt in the eurosystem
T2  - SAFE working paper series ; No. 213 [falsch, korrekt 275]
N2  - We study how the Eurosystem Collateral Framework for corporate bonds helps the European Central Bank (ECB) fulfill its policy mandate. Using the ECBs eligibility list, we identify the first inclusion date of both bonds and issuers. We find that due to the increased supply and demand for pledgeable collateral following eligibility, (i) securities lending market trading activity increases, (ii) eligible bonds have lower yields, and (iii) the liquidity of newly-issued bonds declines, whereas the liquidity of older bonds is unaffected/improves. Corporate bond lending relaxes the constraint of limited collateral supply, thereby making the market more cohesive and complete. Following eligibility, bond-issuing firms reduce bank debt and expand corporate bond issuance, thus increasing overall debt size and extending maturity.
T3  - SAFE working paper - 213 f 
KW  - Collateral Policy
KW  - ECB
KW  - Corporate Bonds
KW  - Corporate Debt Structure
KW  - Eligibility premium
Y1  - 2020
UR  - http://publikationen.ub.uni-frankfurt.de/frontdoor/index/index/docId/53451
UR  - https://nbn-resolving.org/urn:nbn:de:hebis:30:3-534517
N1  - Auf dem Titelblatt fälschlich als No. 213 der Schriftenreihe bezeichnet
IS  - This draft: April 2020
PB  - SAFE
CY  - Frankfurt am Main
ER  -