... fixed-rate financing gives firms an incentive to undertake safer invest-ments. Minton finds that giving firms the option of using interest rate swapscan reduce default risk and, in doing so, increase ... Applied Corporate Finance, reprinted in Robert J. Schwartz and Clifford W. Smith, Jr., eds., The Handbookof Currency and Interest Rate Risk Management. New York: New YorkInstitute of Finance, 1990.Rehm, ... Marshall.“Gains from Synthetic Financing with Interest Rate Swaps: Fact orFancy?” Continental Bank Journal of Applied Corporate Finance, vol. 6(Fall 1993), pp. 91–94.Bicksler, James, and Andrew...