In this paper, we introduce models of sequential decision making in consumer lending. From the definition of adverse selection in static lending models, we show that homogenous borrowers take-up offers at different instances of time when faced with a sequence of loan offers. We postulate that...

We propose a novel approach for studying optimal capital structure under the prevalent corporate income tax regime where full tax deductibility of interest is permitted. Then, following the OECD proposed BEPS (Base Erosion and Profit Shifting) framework, we impose an EBITDA-based limit on the...

We model the term structure of Corporate Credit based on Competitive Advantage. Our approach dispenses with the volatility based Geometric Brownian Motion prevalent in most structural-form models. Instead we consider the competitive advantage enjoyed by a firm as the central tenet of our model...

We present an equity valuation model that is in the spirit of the long-term value-investors Benjamin Graham and Warren Buffett. Taking a longer term view of business prospects and business risks, we explicitly consider Schumpeter's forces of creative destruction as the central tenet of our model...

We present a novel asset pricing model that captures the investment wisdom of the long-term value-investors Benjamin Graham and Warren Buffett. Taking a longer term view of business prospects and business risks, we explicitly consider the time period in which a business enjoys a competitive...