Do Options Contain Information About Excess Bond Returns?

There is strong empirical evidence that risk premia in long-term interest rates are time-varying. These risk premia critically depend on interest rate volatility, yet existing research has not examined the impact of time-varying volatility on excess returns for long-term bonds. To address this issue, we incorporate interest rate option prices, which are very sensitive to interest rate volatility, into a dynamic model for the term structure of interest rates. We estimate three-factor affine term structure models using both swap rates and interest rate cap prices. When we incorporate option prices, the model better captures interest rate volatility and is better able to predict excess returns for long-term swaps over short-term swaps, both in- and out-of-sample. Our results indicate that interest rate options contain valuable information about risk premia and interest rate dynamics that cannot be extracted from interest rates alone.

A liquid crystal analogue of the cosmic string

We consider the propagation of light in a anisotropic medium with a topological line defect in the realm of geometrical optics. It is shown that the effective geometry perceived by light propagating in such medium is that of a spacial section of the cosmic string spacetime.Comment: 3 pages, 2 figures. Modern Physics Letters A, accepted for publicatio

High-energy Landau levels in graphene beyond nearest-neighbor hopping processes: Corrections to the effective Dirac Hamiltonian

We study the Landau level spectrum of bulk graphene monolayers beyond the Dirac Hamiltonian with linear dispersion. We consider an effective Wannier-like tight-binding model obtained from ab initio calculations, that includes long-range electronic hopping integral terms. We employ the Haydock-Heine-Kelly recursive method to numerically compute the Landau level spectrum of bulk graphene in the quantum Hall regime and demonstrate that this method is both accurate and computationally much faster than the standard numerical approaches used for this kind of study. The Landau level energies are also obtained analytically for an effective Hamiltonian that accounts for up to third nearest neighbor hopping processes. We find an excellent agreement between both approaches. We also study the effect of disorder on the electronic spectrum. Our analysis helps to elucidate the discrepancy between theory and experiment for the high-energy Landau levels energies

Advances in Retinal Tissue Engineering

Retinal degenerations cause permanent visual loss and affect millions world-wide. Current treatment strategies, such as gene therapy and anti-angiogenic drugs, merely delay disease progression. Research is underway which aims to regenerate the diseased retina by transplanting a variety of cell types, including embryonic stem cells, fetal cells, progenitor cells and induced pluripotent stem cells. Initial retinal transplantation studies injected stem and progenitor cells into the vitreous or subretinal space with the hope that these donor cells would migrate to the site of retinal degeneration, integrate within the host retina and restore functional vision. Despite promising outcomes, these studies showed that the bolus injection technique gave rise to poorly localized tissue grafts. Subsequently, retinal tissue engineers have drawn upon the success of bone, cartilage and vasculature tissue engineering by employing a polymeric tissue engineering approach. This review will describe the evolution of retinal tissue engineering to date, with particular emphasis on the types of polymers that have routinely been used in recent investigations. Further, this review will show that the field of retinal tissue engineering will require new types of materials and fabrication techniques that optimize the survival, differentiation and delivery of retinal transplant cells.Harvard Univ, Sch Med, Dept Ophthalmol, Schepens Eye Res Inst, Boston, MA 02114 USABoston Univ, Dept Grad Med Sci, Boston, MA 02215 USAUniversidade Federal de São Paulo, Dept Ophthalmol, BR-09210170 São Paulo, BrazilUniversidade Federal de São Paulo, Dept Ophthalmol, BR-09210170 São Paulo, BrazilWeb of Scienc