• An Explanation of Negative Swap Spreads: Demand for Duration from Underfunded Pension Plans 

      Klingler, Sven; Sundaresan, Suresh M. (Journal article; Peer reviewed, 2019)
      The 30‐year U.S. swap spreads have been negative since September 2008. We offer a novel explanation for this persistent anomaly. Through an illustrative model, we show that underfunded pension plans optimally use swaps for ...
    • Safe Haven CDS Premiums 

      Klingler, Sven; Lando, David (Journal article; Peer reviewed, 2018)
      Credit default swaps can be used to lower the capital requirements of dealer banks entering into uncollateralized derivatives positions with sovereigns. We show in a model that the regulatory incentive to obtain capital ...