Fostering the future of finance
through conversations and collaborations
between academics and practitioners.
Conference Agenda
Overview and details of the sessions of this conference. Please select a date or location to show only sessions at that day or location. Please select a single session for detailed view (with abstracts and downloads if available).
|
Session Overview |
| Session | ||
Session 3.07: An Analytical Model for Loan Commitments Facing the Material Adverse Change
| ||
    | ||
An Analytical Model for Loan Commitments Facing the Material Adverse Change The Hebrew University of Jerusalem, Israel We propose a new analytical model for the valuation of loan commitments and some of their main features including the MAC (Material Adverse Change) clause. A two-period contingent claims approach in continuous time is developed. The advantage of this approach is that it is based on rational economic considerations that are not based on utility functions. | ||