Multidimensional scaling in the analysis of the time structure of zero-coupon yield of government securities

Subject. This article deals with the multidimensional scaling as a methodological basis for improving the generally accepted practice of describing the time structure of interest rates for homogeneous financial instruments with the same qualitative characteristics, and for assessing the financial feasibility of revising the time structure of government bond issues. Objectives. The article aims to prove the financial feasibility of revising the time structure of government bond issues. Methods. For the study, we used statistical methods of data analysis, multidimensional scaling, and regression analysis. Results. The use of statistical methods of data analysis and the method of multidimensional scaling makes it possible to propose a new algorithm for describing and visualizing the time structure of interest rates for homogeneous financial instruments (debt securities) with the same qualitative characteristics. The use of regression analysis for the mathematical description and interpretation of the results of the new algorithm makes it possible to propose a justification for the financial feasibility of revising the time structure of government bond issues. Conclusions. The article concludes of the financial feasibility of revising the time structure of government bond issues.