Following theoretical models by Bodie and Taggart (1978), Barnea, Haugen, and Senbet (1980), and Robbins and Schatzberg (1986), return synchronicity should explain optionality in corporate debt securities to the extent that call provisions
are used by managers to mitigate information asymmetry with external investors.
Korkeamaki T, Moore W (2004) Convertible bond design and capital investment: the role of call provisions
. Journal of Finance 59: 391-405.
Comcast also settled charges in April by paying $900,000 for violations of the FTC's Do Not Call provisions
. The FTC contends that Comcast made calls to sell cable television, Internet and telephone services to more than 900,000 consumers after those consumers specifically asked to be placed on Comcast's Do Not Call list.
Mark-to-market and related margin call provisions
have been eliminated.
"It was being driven under the emergency call provisions
and its blue lights etc were on.
This popularity is demonstrated with the endorsement of 100 percent of the states, rule promulgation at both the State and Federal levels, Congressional backing proven by the passage of the Omnibus Appropriations Act of 2003 authorizing the FTC to implement and enforce the Do Not Call provisions
of the Telemarketing Sales Rule and a strong voter approval.
These include provisions like large down payments, collateral, disclosure of financial statements and credit ratings, insurance, restrictive financial conditions, call provisions
, and the like.
Moore, 2004, "Convertible Bond Design and Capital Investment: The Role of Call Provisions
", Journal of Finance, 59:391-405
The temporary regulations provide an explicit exception for gross-up and call provisions
included in "debt" instruments that protect the holder from new or increased withholding tax liabilities.
Changes in the regulation add a restriction on the use of due-on-demand clauses or call provisions
by creditors that can force the consumer to refinance when a creditor exercises its right to call the loan or demand payment of a loan's entire outstanding balance.
often hurt investors, and in highly leveraged situations, corporations have a powerful interest in reducing the value of debt.
Many State and local bonds are issued with call provisions
that prevent the issuer from retiring the bonds prior to 10 years from the date of issue.
* Know the call provisions
. If the issuer exercises its right to redeem the bond before maturity, you may not recover your principal.
Fourth, this duration measure was then adjusted for call features using a matrix provided by Goldman Sachs for adjusting the durations of noncallable bonds to reflect call provisions
. Fifth, the modified durations adjusted for call features were then further adjusted to account for the basis risk stemming from default risk and tax status, as reflected in the lower relative volatility of corporate and municipal bond yields to Treasury yields.