This paper introduces bond market order flow as a predictor variable in term structuremodels and provides evidence that order flow has forecasting ability over and above thatof forward rates. Both in-sample and out-of-sample forecasts show that models includ-ing interdealer order flow outperform...

A real choice exists today on a number of discoveries between platform-based or subsea development solutions. Statistics from the Norwegian continental shelf (NCS) show that fields developed with fixed platforms have a substantially higher recovery factor. The potential for a later commitment to...

This paper investigates the process of price discovery in government bond markets.By using a new data set including interdealer trades, customer trades, trade types anddealer identities, the paper explores the role of dealers in the price formation processand seeks to identify their sources of...

This paper introduces a framework that directly quanti…es information spillovers be-tween …nancial markets. Information spillovers occur when market speci…c information,de…ned as information that directly affects the return or volatility in one market only,indirectly affects returns or...

A recent innovation in equity markets is the introduction of market maker ser-vices paid for by the listed companies themselves. We investigate why firms arewilling to pay a cost to improve the secondary market liquidity of their shares. Weshow that a contributing factor in this decision is the...

When assets exhibit asymmetric dependence or joint downside risk, diversificationcan fail and financial markets may be prone to systemic risk. We analyze thedependence structure of risk factors in the US economy, using both correlations anda parsimonious set of copulas. We find evidence of...

We investigate the relationship between bankruptcy risk and expected future sales growthfor Norwegian non-listed rms for the period 1988-2007. We nd that rms with highbankruptcy risk also have high expected future growth. Financial ratios characterizingrms with high bankruptcy risk also...

Drilling expenses has increased sharply in recent years. The productivity of drilling operations - in terms of meters drilled per day - significantly influences exploration costs. This study analyzes the effect of different types of learning on offshore drilling productivity. The econometric...

The size effect and distress risk have both presented puzzles in modern finance. In thispaper, we build on the methodology of Campbell et al (2008) and Shumway (2001) toconsider potential time variation in pricing behavior of size and distress. We adjustthis methodology in two ways. First, we...

We investigate the information content of aggregate stock market liquidity and askwhether it may be a useful realtime indicator, both for nancial stress, and real economicactivity in Norway. We describe the development in a set of liquidity proxies at the OsloStock Exchange (OSE) for the period...