Hasnawati, Sri (2019) ANALYSIS OF LIQUIDITY OF CORPORATE BONDS IN THE INDONESIAN SECONDARY MARKET. ICEBE II, 2 (1). pp. 1-5. ISSN RSF (Submitted)

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Abstract

The purpose of this study is to determine what factors influence bond liquidity in Indonesia's secondary market during 2015-2017. With the sampling criteria determined, a sample of 23 corporate bonds was chosen with the investment grade category. Multiple regression models are used to answer the research objectives and proposed hypotheses. The results of the study found that the liquidity of corporate bonds in the Indonesian secondary market was positively influenced by market capitalization, inflation, and asymmetric information. Bond liquidity is negatively affected by market indices, in this case, the Indonesia Composite Index and interest rates. Determination coefficient test results amounted to 34.1%, indicating that the ability of independent variables in this study was only able to explain the variable liquidity of bonds of 34.1%Another conclusion is that the secondary market of bonds is not liquid because there are more transactions in the OTC market, and bond investors are generally institutional investors who save until the maturity date of the bonds.

Item Type:	Article
Subjects:	H Social Sciences > HG Finance
Divisions:	Fakultas Ekonomi dan Bisnis (FEB) > Prodi Manajemen
Depositing User:	Dr Sri Hasnawati
Date Deposited:	18 Nov 2019 07:17
Last Modified:	18 Nov 2019 07:17
URI:	http://repository.lppm.unila.ac.id/id/eprint/16945

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