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Term Premium Determinants, Return Enhancement and...
Journal article

Term Premium Determinants, Return Enhancement and Interest Rate Predictability

Abstract

This paper investigates whether simple term premium estimation techniques provide potential for return enhancement and interest rate predictability. Using short‐term US government securities, during 1959—93, it is demonstrated that utilization of such knowledge allows investors to enhance returns on fixed income portfolios, provided that other than money market alternatives can be considered as potential repositories of funds. In addition, such …

Authors

Deaves R

Journal

Journal of Business Finance &amp Accounting, Vol. 25, No. 3‐4, pp. 485–499

Publisher

Wiley

Publication Date

April 1998

DOI

10.1111/1468-5957.00199

ISSN

0306-686X