| dc.description.abstract | This study empirically investigates the driving forces of default at the time of issue in the
shipping industry. By developing a logit model based on a sample of 64 shipping bonds and
loans, it is shown that the most important factors in predicting shipping defaults are the
financial health of the company and the macroeconomic state of the world. This study
contributes to the existing literature by emphasizing the forward-looking features of the
model, strengthening the long-range predictive accuracy. For the first time in the shipping
literature, VIX is shown to be an important factor when predicting shipping defaults. The study
is of interest to banks specializing in shipping, shipping bond investors, and any institution or
professional dealing with credit assessment in the shipping industry. | en_US |
