Authors :
Ayu Asih Sintami; Bambang Santosoe Marsoem
Volume/Issue :
Volume 5 - 2020, Issue 7 - July
Google Scholar :
http://bitly.ws/9nMw
Scribd :
https://bit.ly/3lhOyPh
DOI :
10.38124/IJISRT20JUL733
Abstract :
This study analyzes the influence of the
variable Debt Equity Ratio (DER), Maturity, Firm Size
and Bond Rating on the Yield To Maturity (YTM) of
corporate bonds. The study population consists of
corporate bonds traded on the Indonesia Stock
Exchange period 2016-2018. The sample selection
technique by purposive sampling. The research sample
43 corporate bonds issued by 18 companies from all
sectors except the banking and financial sectors. The
research analysis method used is descriptive statistics
and Common Effect Model (CEM) panel data
regression. The results showed that partially the DER
variable had no effect on YTM, maturity had a
significant positive effect on YTM, Firm Size and Bond
Rating significant negative effect on YTM. The
implication of this research is that companies need to
improve their bond ratings to maintain investor
confidence. In addition, is easier for companies with
large assets to find external sources of funds through
the issuance of bonds. This is because both are proven
to have a negative effect on YTM. For further research,
is expected to study other variables that affect YTM
because the coefficient of determination in this study is
59%, and 41% is influenced by other variables not
explained in this study.
Keywords :
Debt to Equity Ratio, Maturity, Firm Size, Bond Rating and Yield To Maturity
This study analyzes the influence of the
variable Debt Equity Ratio (DER), Maturity, Firm Size
and Bond Rating on the Yield To Maturity (YTM) of
corporate bonds. The study population consists of
corporate bonds traded on the Indonesia Stock
Exchange period 2016-2018. The sample selection
technique by purposive sampling. The research sample
43 corporate bonds issued by 18 companies from all
sectors except the banking and financial sectors. The
research analysis method used is descriptive statistics
and Common Effect Model (CEM) panel data
regression. The results showed that partially the DER
variable had no effect on YTM, maturity had a
significant positive effect on YTM, Firm Size and Bond
Rating significant negative effect on YTM. The
implication of this research is that companies need to
improve their bond ratings to maintain investor
confidence. In addition, is easier for companies with
large assets to find external sources of funds through
the issuance of bonds. This is because both are proven
to have a negative effect on YTM. For further research,
is expected to study other variables that affect YTM
because the coefficient of determination in this study is
59%, and 41% is influenced by other variables not
explained in this study.
Keywords :
Debt to Equity Ratio, Maturity, Firm Size, Bond Rating and Yield To Maturity