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This book follows several of my articles on Russian debt. Having worked for several years on this topic, I felt there were still many elements to be discussed. Additional sources kept being added to the already long list I had been working on. Each new article raised new questions and generated new ideas. One obvious limit of the articles I had written was the period I had considered. My articles cover only the period up to 1919 and therefore leave out the negotiations of the 1920s. All these elements gradually convinced me to write a book about Russian debt between 1918 and 1921. As well as including the negotiations, this time frame coincides roughly with the period of the Russian civil war, which plays a central role in the analysis.
Historians have focused mostly on the political aspects related to the Russian bonds and the negotiations held after 1918. Specialists in international law have analyzed the legal aspects of the repudiation. Eventually, journalists as well as members of bondholders’ associations condemned the repudiation and asked for a higher reimbursement from Russia.1Close The analysis presented here focuses instead on market prices for Russian bonds. Indeed, contrary to common sense, Russian debt continued to be listed and traded long after it was repudiated. Aside from some periods of inactivity, when prices may not have been representative, the price series can be analyzed using quantitative techniques. Although the emphasis here is on investor perceptions at that time, the book also contributes to the broader debate on sovereign debt, one of the most singular financial instruments in existence.
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