Conference Agenda
Overview and details of the sessions of this conference. Please select a date or location to show only sessions at that day or location. Please select a single session for detailed view (with abstracts and downloads if available).
Please note that all times are shown in the time zone of the conference. The current conference time is: 24th Apr 2026, 06:12:03am EDT
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Agenda Overview |
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Track W5-3: Private Credit and Corporate Debt
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Financially Sophisticated Firms MIT Sloan Using a newly comprehensive dataset that merges firm-level information with corporate bond issuance and holdings, we show that firms strategically use bond issuance not only to minimize their cost of capital but also to diversify their investor base. Investor specialization in certain bond characteristics allows firms to effectively shape their bondholder composition through issuance decisions. We find that firms with more diversified bondholder exhibit increased resilience to credit market shocks. Our analysis underscores the dual function of market timing in corporate bond issuance: it serves both to reduce capital costs and as a strategy for credit supply diversification. These findings emphasize the pivotal role of financially sophisticated firms in strategically issuing assets in a market increasingly reliant on non-bank intermediaries.
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