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corporate bond new issue premium/discount
Has anyone ever seen a research paper about the premium/discount at which corporate bond are issued vs existing issues, and about the market impact of new issues on previoulsly issues bonds?Regards,GT
corporate bond new issue premium/discount
I'd be interested in that, if you find it.Doubt new issue would be offered at a premium (higher price) to existing issues. And in terms of impact, the spread most likely moves closer to an average between existing and new issues spreads, on the break. After that it's market psychology as always.