Topic
Homemade leverage
About: Homemade leverage is a research topic. Over the lifetime, 9 publications have been published within this topic receiving 154 citations.
Papers
Posted Content•
48 citations
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40 citations
Posted Content•
29 citations
TL;DR: In this paper, the authors present the "homemade leverage theorem" and the effect of no default risk on corporate investment in option-financing, and the corporate investor: long-, margin-, and short-risk positions.
Abstract: I. Debt versus equity financing, 452: Investor portfolio choice, 454; Fundamental leverage theorem, 456; Leverage as an externality 456; Effect of no default risk: the "homemade leverage theorem," 457; Corporate management and the capital markets, 458; Corporate capital budgets as a "public good," 460. — II. The corporate investor: long-, margin-, and short-risk positions, 462. — Appendix: option financing, 467.
28 citations
Posted Content•
TL;DR: In this article, Baron used a stochastic domlinance argumiient in an attemnpt to prove that the Modigliani-Miller (M-M) theorem is generallN valid even in case of default risk.
Abstract: In the March 1974 issue of this Reziew David Baron uses a stochastic domlinance argumiient in an attemnpt to prove that the Modigliani-Miller (M-M) theorem is generallN valid even in case of default risk. FIor this purpose he uses the familiar two-firml paradigm where both firms have idenitical
17 citations
Related Topics (5)
Performance Metrics
| Year | Papers |
|---|---|
| 2021 | 1 |
| 2016 | 1 |
| 2013 | 1 |
| 2008 | 1 |
| 1975 | 1 |
| 1974 | 1 |