Question: With respect to corporate governance what are the mechanisms that
With respect to corporate governance, what are the mechanisms that can mitigate the likelihood that management will act in its own self-interest?
Relevant QuestionsWhy is credit risk modeling more difficult than interest-rate modeling? What is the drawback of the default correlation measure and what alternative measure is used in measuring portfolio credit risk? Explain how the Black-Scholes-Merton model has been extended to allow for multiple bond issues in a corporation’s debt structure. The following is reproduced from the Prospectus of the T. Rowe Price Institutional Core Plus Fund dated October 1, 2010: “Principal Investment Strategies: The fund intends to invest at least 65% of its net assets in a ...This excerpt comes from an article titled “Eagle Eyes High-Coupon Callable Corporates” in the January 20, 1992, issue of BondWeek, p. 7: “If the bond market rallies further, Eagle Asset Management may take profits, ...
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