Exploring the corporate bond factor zoo

108 Long–short corporate bond factors from Open Source Bond Asset Pricing. Compare single sorts against within-firm sorts, four return definitions, three rating universes and two weighting schemes — across three datasets reaching back to 1973.

Pick a dataset, a sort, a return definition, a universe and a weighting. The table below ranks every factor in that slice selection, grouped by factor cluster. Tick up to ten factors to chart them.

Cumulative performance tick factors in the table below

All factors

Alpha is the intercept from the one-factor bond CAPM (CAPMB) of Dickerson, Mueller and Robotti (2023), the factor regressed on the market benchmark matched to its return definition. Both t-statistics use Newey-West standard errors with lags = floor(T0.25), where T is the number of months in the series.