Risk Management with Variable Capital Utilization and Time-Varying Collateral Capacity

The authors thank John Campbell, Pascal Francois (discussant), David Haushalter (discussant), Poorya Kabir (discussant), Jun-koo Kang, Hayne E. Leland, Jeff Netter, Junho Park, Annette Poulsen, Adriano Rampini, Robert Resutek, Jerome Taillard (discussant), S. Viswanathan, Neng Wang, Malcolm Wardlaw, Yufeng Wu, Jinqiang Yang, Hayong Yun and seminar participants at University of Georgia, the 2020 Singapore Scholar Symposium, 2021 American Finance Association Annual Meeting, 2021 Eastern Finance Association Conference, 2021 Financial Intermediation Research Society Annual Conference, 2021 Accounting and Finance Association of Australia and New Zealand Conference, and 2021 Conference on Asia-Pacific Financial Markets for helpful comments. The authors also thank Sam Audino, Ny Nguyen Truc Bui, Nelson Lam, Chong Ying Lee, David Schumm, Yeap Hwei Yee, and Yeoh Kar Yan for excellent research support and David Pursell, John Rielly, Jay Wilson, and Jeff Wood for detailed discussions on risk management practice at oil and gas firms.