---
title: NonFundamental Loan Renegotiations
url: https://www.ml-quant.com/papers/ssrn/4939184/
site: ML-Quant (https://www.ml-quant.com)
updated: 2026-09-26
license: Summaries CC BY 4.0; links go to the original sources
index: https://www.ml-quant.com/llms.txt
identifier: SSRN 4939184
source_url: https://papers.ssrn.com/sol3/papers.cfm?abstract_id=4939184
featured: 2024-08-28
citations: unknown
topic: Trading, Microstructure & Execution
---


# NonFundamental Loan Renegotiations

The research explores how nonbank lenders' need for liquidity affects private lending, revealing that loans included in indexes have more market makers, lower bid-ask spreads, higher prices, and increased mutual fund holdings.

- Source: https://papers.ssrn.com/sol3/papers.cfm?abstract_id=4939184
- Identifier: SSRN 4939184
- Released: 2023-12-19
- First featured: Quant Letter No. 63 (2024-08-28): https://www.ml-quant.com/issues/2024-08-28/
- Citations (Semantic Scholar): not tracked
- Published in: not yet
- Topic: Trading, Microstructure & Execution

## Related

- [Market Making with Exogenous Competition](https://www.ml-quant.com/papers/arxiv/2407.17393/): A study reveals that a 'reference market maker' who optimizes her posted depths can achieve a near perfect solution, which is compared against other solutions using an Euler scheme or reinforcement learning techniques in a competitive environment.
- [The Negative Drift of a Limit Order Fill](https://www.ml-quant.com/papers/arxiv/2407.16527/): The research identifies a negative drift in market making models, particularly in limit order fills, using the 10 Year US Treasury Bond futures for empirical simulation.
- [Concentrated Superelliptical Market Maker](https://www.ml-quant.com/papers/arxiv/2410.13265/): The article discusses a new automated market maker model that can handle both negative and positive asset pricing, useful in electricity, energy, and derivatives markets, and compares it to a replicating market maker.
- [A Tick-by-Tick Solution for Concentrated Liquidity Provisioning](https://www.ml-quant.com/papers/arxiv/2405.18728/): Early findings suggest that programmable automated market makers with concentrated liquidity capabilities are not most effective when focused solely on the current price.
- [Ponzi Funds](https://www.ml-quant.com/papers/arxiv/2405.12768/): The study suggests that investors' pursuit of high returns from active funds can predict ETF bubbles and crashes, and that a fund's liquidity can indicate its potential for inflated returns.
- [Price-Aware Automated Market Makers: Models Beyond Brownian Prices and Static Liquidity](https://www.ml-quant.com/papers/arxiv/2405.03496/): Advanced Models: The article presents models for improving quotes in automated market making platforms, considering complex price changes and demand fluctuations.