Focusing on Spanish firms, we investigate how investors incorporate the value of a firm's outstanding employee stock options (ESO hereafter) into its stock price. Aboody (1996) analyzes the same issue on US data, however our approach differs in two ways. First, we value ESO grants using Hull...

If the creditworthiness of a counterparty is a derivative of a commodity price, there is the potential to have right- or wrong-way exposures in respective commodity transaction. Identifying them is important, because otherwise credit costs might be inadequately calculated and wrong incentives...