Borochin, Paul
[VerfasserIn]
;
Kopeliovich, Yaacov
[Sonstige Person, Familie und Körperschaft];
Shea, Kevin
[Sonstige Person, Familie und Körperschaft]
A General Method for Valuing Complex Capital Structures
Anmerkungen:
Nach Informationen von SSRN wurde die ursprüngliche Fassung des Dokuments July 21, 2019 erstellt
Beschreibung:
We develop a numerical method based on the Cox et al. (1979) binomial tree option valuation approach that can accommodate arbitrarily complex capital structures with varying debt maturities and seniorities, as well as preferred stock and warrants. The method provides straightforward valuation for common bond market features such as convertibility and prepayment options, as well as sinking fund provisions, that have proven challenging to model analytically