Analysis of Interest Rate, Capital Structure and Information Risk on Yield to Maturity and Its Application on Company Value: A Case Study of Bond Companies Listed in The Indonesia Stock Exchange (IDX) from 2009 to 2013

Abstract

This research aimed at identifying and analyzing the effect of interest rate, capital structure, and information risk on yield to maturity in increasing the value of bond companies in the IDX. Descriptive method with quantitative approach was used. The samples comprised bond companies listed on the IDX from 2009 to 2013. The samples were selected using purposive sampling with the following criteria: the bonds were traded in the IDX from 2009 to 2013, they had bond ratings from PT. Pefindo, and they did not have the option to sell and purchase. The data were analyzed using panel data analysis. The results showed that 1) interest rate affected yield to maturity, 2) capital structure affected yield to maturity, 3) information risk affected yield to maturity, and 4) yield to maturity affected company value.