The Year-End Effect in Junk Bond Prices

Returns on speculative-grade bonds exhibit significant year-end effects. The average return on these bonds declines at the end of the year and rebounds above the previous level at the beginning of the following year. The greatest rebound occurs with bonds that previously performed the poorest.

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Bibliographic Details
Published in:	Financial analysts journal Vol. 50; no. 5; pp. 61 - 65
Main Authors:	Cooper, Rick A., Shulman, Joel M.
Format:	Journal Article
Language:	English
Published:	Charlottesville The Association for Investment Management and Research 01-09-1994 National Federation of Financial Analysts Societies Taylor & Francis Ltd
Subjects:	Bond management Bonds Coefficients Corporate debt Economic models Equity Financial advisers Financial portfolios Investment Junk bonds Market analysis Mathematical constants Modeling Price quotations Prices Rates of return Statistical analysis Studies United States > US
Online Access:	Get full text
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Description
Summary:	Returns on speculative-grade bonds exhibit significant year-end effects. The average return on these bonds declines at the end of the year and rebounds above the previous level at the beginning of the following year. The greatest rebound occurs with bonds that previously performed the poorest.
Bibliography:	ObjectType-Article-2 SourceType-Scholarly Journals-1 ObjectType-Feature-1 content type line 23
ISSN:	0015-198X 1938-3312
DOI:	10.2469/faj.v50.n5.61