Sentences with phrase «because debt and equity»

Because debt and equity financing for exploration has all but dried up, companies have nowhere else to turn to get a property into production.

Not exact matches

Corporate investment - banking fees were down 4 % from the year - ago quarter because of lower advisory and equity issuance fees but partly offset by higher debt - issuance fees, according to the firm.
At that point, large private equity buyers begin to enter the picture, because they can purchase the company with borrowed money and use the company's own cash flow to service the debt.
But that failure, Qi and Zhao maintain, may not apply to R&D, because R&D is not normally funded through debt but rather through internal equity, which is considerably enhanced by a large tax break.
Here's the loophole: If you take out a new home equity loan or line of credit and use the money for home improvements, you're converting a home equity debt into an acquisition debt because the proceeds are used to «substantially improve» a qualified residence.
This is especially true on the downside because high yield investors typically are «privy» to bank credit information — trust me, this is true, as our high yield desk was next to the bank debt trading desk and we were very friendly with each other — and can see when corporate numbers are deteriorating well in advance of equity analysts and investors.
I'd add a related wrinkle: when a dot.com bubble bursts, it mops up more quickly because of the difference between «mark - to - market» in an equity bubble and «extend - and - pretend» in a debt - financed housing bubble.
It is true that the housing bubble caused more damage because it was a debt bubble vs. an equity bubble, and that caused a bigger financial problem because banks and shadow banks were more financially exposed to the equity losses of the housing bubble (equity based upon debt x 10).
3 It may seem willfully perverse to most analysts to suggest that a debt - equity swap does not reduce debt, but that is because most analysts do not think systemically and fail to consider the overall impact of these transactions on debt - servicing costs and on contingent liabilities of the government.
Bank of America warns that the CSPP could «quickly become its own worst enemy,» fueling a rise in leveraged buyouts — because «cheap debt can suddenly make unviable candidates appear «viable» for private equity» — and increasing volatility in credit spreads.
But because the equities market is at such high levels with a record margin debt, this combination along with the shift in investor sentiment could lead to a significant and dramatic sell - off.
Because the equities market has been pushed up by this additional flow of funds, any sign that investor sentiment is shifting will lead to a pullback in margin debt, and this leads to selling pressure in the equities market.
From the perspective of someone interested in making investments with 20 + year holding periods in mind, you need to be careful of owning banks because of the debt to equity levels involved in the investment, you need to be wary of technology companies because they must constantly be innovating to remain profitable and relevant (unlike, say, Hershey, which could stick with its business model of selling chocolate bars for the next century), and retail stocks which are always subject to the risk of a new low - cost carrier arriving on the block.
Moreover, you will be able to get finance sooner than you think since even if you have an outstanding mortgage, you will be able to get a home equity loan based on the equity you build on your home either because you are paying off the mortgage and the debt is reduced or because the property's value will increase over the years.
Rebalancing may be needed because of different growth rates of each asset class, i.e. debt and equity.
It is suggested to shift from the funds that are more concentrated on equities and invest more in debt funds because as they are less risky and returns are more or less assured unlike equity funds.
At present, the relationship between earnings and bond yields seems tighter because of the large substitution of debt for equity going on, but that's not a normal thing in the long run.
As one moves down the credit spectrum, the riskiest corporate bonds act like equities, largely because as a company nears default, the equity of the firm is worthless, and true control of the firm is found in some part of the debt structure.
Thanks for prompt response Vipin My goal is to distribute my Debt portfolio from Bank FDs Debt funds are as good as FD but with TAX benefit I beleive because of the small equity component (0 % to 30 %) in Aggresive MIPs they can offer a good return in debt portfolio with low risk which makes it better than Balanced Equity Funds and Debt Funds on eiher side of investments Hence I believe along with Bank FDs, Debt Mutual Funds a person should also diverisfy and invest in Agrresive MIPs as one of the debt instrumDebt portfolio from Bank FDs Debt funds are as good as FD but with TAX benefit I beleive because of the small equity component (0 % to 30 %) in Aggresive MIPs they can offer a good return in debt portfolio with low risk which makes it better than Balanced Equity Funds and Debt Funds on eiher side of investments Hence I believe along with Bank FDs, Debt Mutual Funds a person should also diverisfy and invest in Agrresive MIPs as one of the debt instrumDebt funds are as good as FD but with TAX benefit I beleive because of the small equity component (0 % to 30 %) in Aggresive MIPs they can offer a good return in debt portfolio with low risk which makes it better than Balanced Equity Funds and Debt Funds on eiher side of investments Hence I believe along with Bank FDs, Debt Mutual Funds a person should also diverisfy and invest in Agrresive MIPs as one of the debt instrequity component (0 % to 30 %) in Aggresive MIPs they can offer a good return in debt portfolio with low risk which makes it better than Balanced Equity Funds and Debt Funds on eiher side of investments Hence I believe along with Bank FDs, Debt Mutual Funds a person should also diverisfy and invest in Agrresive MIPs as one of the debt instrumdebt portfolio with low risk which makes it better than Balanced Equity Funds and Debt Funds on eiher side of investments Hence I believe along with Bank FDs, Debt Mutual Funds a person should also diverisfy and invest in Agrresive MIPs as one of the debt instrEquity Funds and Debt Funds on eiher side of investments Hence I believe along with Bank FDs, Debt Mutual Funds a person should also diverisfy and invest in Agrresive MIPs as one of the debt instrumDebt Funds on eiher side of investments Hence I believe along with Bank FDs, Debt Mutual Funds a person should also diverisfy and invest in Agrresive MIPs as one of the debt instrumDebt Mutual Funds a person should also diverisfy and invest in Agrresive MIPs as one of the debt instrumdebt instruments
I understand the idea of deducting the excess cash because it could be used to immediately reduce the debt and boost the equity value but... On one hand it seems logical to avoid deducting the cash that is not available for distribution (i.e. couldn't be extracted from the operations), on the other hand that is exactly the part of the cash that is less likely to bear interests.
Because of the network of lenders LendingTree utilizes, homeowners can find an array of home equity line of credit products to fit their specific needs, based on their credit history and score, available equity in the home, and other qualifying criteria such as debt - to - income and earnings.
I believe because of the small equity component (0 % to 30 %) in Aggresive MIPs they can offer a good return in debt portfolio with low risk which makes it better than Balanced Equity Funds and Debt Funds on either side of investequity component (0 % to 30 %) in Aggresive MIPs they can offer a good return in debt portfolio with low risk which makes it better than Balanced Equity Funds and Debt Funds on either side of investmedebt portfolio with low risk which makes it better than Balanced Equity Funds and Debt Funds on either side of investEquity Funds and Debt Funds on either side of investmeDebt Funds on either side of investments.
Since the foreclosure crisis began in 2007, home equity loans have become next to impossible to qualify for, so many San Diego homeowners have shifted to FHA home loans for refinancing into a fixed rate mortgage and because cash out was available to 95 % for refinance and debt consolidation.
Because interest rates on home loans are often a lot lower than the interest rates offered on car loans, private student loans, credit cards, and personal loans, many people choose to pull out the equity from their home and use the cash to pay off their other debts.
The standard home equity loan is the most commonly used for debt consolidation because you borrow a single lump sum of cash, whatever you need to pay off your debts, and then pay it off over a period of years at a fixed interest rate.
Because it includes all (total) assets (assets funded by debt and equity) it is a profitability ratio that interests both creditor and equity stakeholders.
But he also observes the looming retirement crisis that is brewing because people drowning in student loan debt are not able to buy homes and build equity towards retirement.
Because they combine debt and equity characteristics, they are considered hybrid securities.
That's because preferred stocks aren't really stocks at all --- they are hybrid instruments that have qualities of both an equity and a debt instrument.
I'll start with risk because this is a segment of investing that I believe is the most important for any investor (equity or debt) to recognize and understand.
Because the annuity will never catch up to the mortgage debt and interest rates, it rarely, if ever, makes sense for the borrower to take out an annuity along with a reverse equity mortgage.
I was asking about adjusting different types of capital gains in Rs 3lakh basic tax exemption limit for Dr citizen because there is no other income and what should be the order of adjusting shortterm / longterm debt / equity mutual fund gain.
Because a consumer proposal does not include secured debt, such as a car loan or lease, you can keep any leased or financed car (assuming the equity is less than $ 6,600) if your loan payments are up - to - date, and you continue to make all your car payments.
This is because debt is a cheaper source of finance compared to equity because of tax savings (dividends are not tax deductable) and predictable return for lenders.
This is because book values of assets (and hence equity) are usually lower than their market value (e.g. due to historical cost convention and impairment losses) whereas the book value of debt remains relatively close to its market value (e.g. interest on bank loan is usually adjusted periodically in line with prevailing market interest rates).
However, this figure is an underestimate of debt caused by higher education, because for many families, home equity loans and credit cards have become an important part of financing college.
i cant even get a Home Equity Loan, because my DEBT to Income Ratio is too high, and i can not reduce it @ these Interest RATES!
Your LTV (or debt to equity) ratio on the property stays in tact because the equity from your real property is NOT being used to fund the loan, thereby preserving flexibility if the downturn in the market occurs and the property would need to be sold.
With one exception, I would doubt that there would be any dramatic shifts in corporate capitalizations toward less debt and more equity because of dividend tax relief.
Good, but your prior policies fostered debt - based finance, because recessions were never allowed to get too deep, and businessmen rationally chose to finance with cheaper tax - deductible debt, rather than expensive equity, because they concluded that the Fed would not allow big crises to happen.
«I'm guessing a big chunk of the 35 percent who don't have mortgage debt really want it because they're paying high rents and earning no equity,» said Dvorkin.
In recent years, home equity loans and HELOCs have been excellent debt consolidation options because interest rates have been low.
Interestingly, both Almine Rech, whose annual sales are not revealed, and Greta Meert are listed as having only a small amount of equity or even negative equity because of their debt financing.
As a report from the Global CCS institute points out, financing this new infrastructure will be difficult to accomplish using debt because of uncertainty as to CO2 revenues — the report suggests that the World Bank and international lending institutions could finance CCS projects, and «the role of national governments can be as guarantors, equity partners or financial supporters.»
We predominately focus on equity overseas because this is where we see the most opportunity, but we also offer structured debt with three - to five - year terms and institutional debt for syndication.
Office was obviously hit pretty hard in the downturn, especially suburban office, and we're seeing CBD or general urban office property outperforming suburban because there's a flight to quality, to move into walkable transit - oriented projects, which is certainly where capital is focused, whether it's debt or equity.
«They need to maintain good cash flow, because they are about to take on a lot of debt,» says Jan Kniffen, CEO of J. Rogers Kniffen Worldwide Enterprises, a New York City - based equity research and financial management consulting firm specializing in retail, who thinks the parties could end up agreeing on $ 55 per share.
This measure is often used in the case of property investments because the financing of property acquisitions involves in most cases the use of both equity and debt (borrowed funds).
Firms like Point operate with less oversight than banks and other lenders, because they're offering products that are structured as equity rather than debt.
This seller was lucky because he had enough equity to pay off the HERO lien but many sellers are finding that they do not have enough equity to pay off the lien and they believe that the buyer can assume the debt.
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