How Long to Read Probabilities of Default and the Market Price of Risk in a Distressed Economy

How Long Does it Take to Read Probabilities of Default and the Market Price of Risk in a Distressed Economy?

It takes the average reader and 16 minutes to read Probabilities of Default and the Market Price of Risk in a Distressed Economy by Miguel A. Segoviano Basurto

Assuming a reading speed of 250 words per minute. Learn more

Description

We propose an original method to estimate the market price of risk under stress, which is needed to correct for risk aversion the CDS-implied probabilities of distress. The method is based, for simplicity, on a one-factor asset pricing model. The market price of risk under stress (the expectation of the market price of risk, conditional on it exceeding a certain threshold) is computed from the price of risk (which is the variance of the market price of risk) and the discount factor (which is the inverse of the expected market price of risk). The threshold is endogenously determined so that the probability of the price of risk exceeding it is also the probability of distress of the asset. The price of risk can be estimated via different methods, for instance derived from the VIX or from the factors in a Fama-MacBeth regression.

How long is Probabilities of Default and the Market Price of Risk in a Distressed Economy?

Probabilities of Default and the Market Price of Risk in a Distressed Economy by Miguel A. Segoviano Basurto is 16 pages long, and a total of 4,096 words.

This makes it 5% the length of the average book. It also has 5% more words than the average book.

How Long Does it Take to Read Probabilities of Default and the Market Price of Risk in a Distressed Economy Aloud?

The average oral reading speed is 183 words per minute. This means it takes and 22 minutes to read Probabilities of Default and the Market Price of Risk in a Distressed Economy aloud.

What Reading Level is Probabilities of Default and the Market Price of Risk in a Distressed Economy?

Probabilities of Default and the Market Price of Risk in a Distressed Economy is suitable for students ages 6 and up.

Note that there may be other factors that effect this rating besides length that are not factored in on this page. This may include things like complex language or sensitive topics not suitable for students of certain ages.

When deciding what to show young students always use your best judgement and consult a professional.

Where Can I Buy Probabilities of Default and the Market Price of Risk in a Distressed Economy?

Probabilities of Default and the Market Price of Risk in a Distressed Economy by Miguel A. Segoviano Basurto is sold by several retailers and bookshops. However, Read Time works with Amazon to provide an easier way to purchase books.

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