The Debt Maturity Profile and its Implications for Capital Structure
(2010)Department of Economics
- Abstract
- Purpose: The purpose of this thesis is to investigate whether the length of the maturity profile of a firm’s debt has any implications for the capital structure. Theoretical perspectives: A deductive approach, using econometric methodology to examine the correlation ( if any) between the selected variables, and the significance (if any) of that correlation. The output of our econometric model is further analyzed using widely accepted theories on capital structure. Conclusion: The debt maturity profile has a statistically significant positive relationship with the debt to asset percentage of the studied firms. Thus, we draw the conclusion that it has implications for capital structure. It is however our opinion that further research is... (More)
- Purpose: The purpose of this thesis is to investigate whether the length of the maturity profile of a firm’s debt has any implications for the capital structure. Theoretical perspectives: A deductive approach, using econometric methodology to examine the correlation ( if any) between the selected variables, and the significance (if any) of that correlation. The output of our econometric model is further analyzed using widely accepted theories on capital structure. Conclusion: The debt maturity profile has a statistically significant positive relationship with the debt to asset percentage of the studied firms. Thus, we draw the conclusion that it has implications for capital structure. It is however our opinion that further research is needed to ascertain the exact properties of this correlation, as well as pinpointing the reasons behind it. (Less)
Please use this url to cite or link to this publication:
http://lup.lub.lu.se/student-papers/record/1607353
- author
- Drott, Markus and Olén, Martin
- supervisor
- organization
- year
- 2010
- type
- M2 - Bachelor Degree
- subject
- keywords
- economic systems, economic theory, econometrics, Economics, maturity profile, debt to assets, fixed effects, Capital Structure, Leverage, economic policy, Nationalekonomi, ekonometri, ekonomisk teori, ekonomiska system, ekonomisk politik
- language
- English
- id
- 1607353
- date added to LUP
- 2010-03-05 00:00:00
- date last changed
- 2010-08-03 10:53:06
@misc{1607353,
abstract = {{Purpose: The purpose of this thesis is to investigate whether the length of the maturity profile of a firm’s debt has any implications for the capital structure. Theoretical perspectives: A deductive approach, using econometric methodology to examine the correlation ( if any) between the selected variables, and the significance (if any) of that correlation. The output of our econometric model is further analyzed using widely accepted theories on capital structure. Conclusion: The debt maturity profile has a statistically significant positive relationship with the debt to asset percentage of the studied firms. Thus, we draw the conclusion that it has implications for capital structure. It is however our opinion that further research is needed to ascertain the exact properties of this correlation, as well as pinpointing the reasons behind it.}},
author = {{Drott, Markus and Olén, Martin}},
language = {{eng}},
note = {{Student Paper}},
title = {{The Debt Maturity Profile and its Implications for Capital Structure}},
year = {{2010}},
}