When getting into a joint venture partnership with
a debt equity position, you make money in two ways.
Not exact matches
These include currency - hedged ETFs, triple - levered ETFs based on commodities, unconstrained bond funds with short
positions betting against U.S. Treasurys, private
equity funds, emerging market
debt instruments, historically less - liquid bank loan funds, and all manner of actively managed strategies packaged in supposedly easy to buy and sell wrappers.
The company's strengths can be seen in multiple areas, such as its revenue growth, reasonable valuation levels, largely solid financial
position with reasonable
debt levels by most measures and notable return on
equity.
The company's strengths can be seen in multiple areas, such as its reasonable valuation levels, expanding profit margins, largely solid financial
position with reasonable
debt levels by most measures and notable return on
equity.
Given the relative
position in the capital structure and security surrounding
debt investments, the rate of return for creditors of a given company is typically lower than the company's
equity holders.
Investments for which market prices are not observable include private investments in the
equity of operating companies, real estate properties and certain
debt positions.
As long as your
debt - to - income ratio is low, however, and you have a larger
equity position — meaning you can afford a larger down payment — you stand a good chance of getting approved for a loan with a decent interest rate.
Such strategies involve investing predominantly in corporate credit, including senior secured and mezzanine loans and high yield, distressed and high grade
debt securities, private
equity controlled
positions, real estate investment and investment in pools of non-performing loans in Europe and Asia.
The Treasury is taking responsibility for making bad lenders and bad investors whole, but leaving bad
debts and even Negative
Equity on the books and even putting the government in the
position of «
debt collector of last resort.»
Patch of Land's niche is focusing on first -
position debt loans only (no
equity deals) and pre-funding all deals.
Assuming that the total amount of bad
debt in the banking system exceeds total bank capital — something which is almost certainly true — the conversion of
debt which can not be serviced into an
equity position that is unlikely to generate much more (and in an economic downturn, which is when we are most concerned about the
debt burden, we can assume that the decline in value of these
equity positions will be highly correlated) leaves the net indebtedness of the banking system unchanged, and so the contingent liabilities of the government are unchanged even as reported
debt in the system declines.
Star Mountain is a specialized asset management firm focused exclusively on the U.S. lower middle - market by investing
debt and
equity directly into established operating companies, making strategic investments into fund managers and purchasing secondary fund
positions.
While the acceleration of Asian financial market development has implications across
equity and
debt markets, some financial services companies are in a good
position to benefit.
The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial
position with reasonable
debt levels by most measures, notable return on
equity, increase in stock price during the past year and expanding profit margins.
Trying to anticipate the changing environment, and high corporate
debt levels, suggest it would be wise to start taking a more defensive
position on
equities long before yields on 10 - year Treasuries reach 5 %.
With corporate
debt markets priced for another Great Depression, High Yield Bonds are in a unique
position to outperform
equities given recent runups off the lows while providing a high yield income stream for years to come.
This
positioned us as the world's second largest investor in real estate * with investments spread across direct and indirect
equity and
debt in Europe, the U.S. and the Asia Pacific region.
The
equity market recouped some of yesterday's loss as the entire trading day was
position squaring ahead of the German Constitutional Court rendering its decision on the constitutionality of the ESM and the role of ECB moves to buy the primary issuance of European sovereign
debt.
According to the Alpholio ™ analysis, at the end of March 2013, the fund's equivalent
positions in
equity exchange - traded products (ETPs) totaled over 40 % (in part, this reflects the fact that the fund can invest in convertibles and foreign
debt):
Because of its subordinate
position, the mezzanine loan assumes a higher risk profile than senior
debt but retains a less risky
position than preferred
equity.
The main advantage to
debt financing over
equity financing is that the lender does not take an
equity position in your business - you retain full ownership and the lender has no control over the running of the business.
This means that with too little
equity borrowers will not be in a
position to repay the
debt.
They also have the ability to invest beyond the
equity market in «less liquid» investments, such as distressed
debt, can hold short
positions in merger / arbitrage situations or to hedge market risk, and are willing to hold a up to 15 % in cash.
The Company also filed a «generic» registration covering a broad range of alternative financing options (again, both
debt and
equity) so that, if it determined to do so, it would be in a
position to quickly effect a capital raise, and it moved to increase the authorized number of shares of Class A Common Stock for the same reason.
White their neutral weighting is 60/40 between stocks / bonds, the managers adjust the balance between
equity and
debt based on which universe is most attractively
positioned.
Generally, as a firm's
debt - to -
equity ratio increases, it becomes riskier A lower
debt - to -
equity number means that a company is using less leverage and has a stronger
equity position.
Credit Grade Mortgage companies often grade your loan based on certain credit related items such as payment history, amount of
debt payments, bankruptcies,
equity position and your credit score.
For purposes of the Policies and Procedures, the term «portfolio holdings» means the
equity and
debt securities (e.g., stocks and bonds) held by the Fund and does not mean the cash investments, derivatives, and other investment
positions (collectively, other investment
positions) held by the Fund, which are not disclosed.
SandRidge went into bankruptcy, restructured, and now PenderFund owns
equity through its
debt position.
Construction Loan... my husband and I are in a
position to buy 2 lots of property fairly cheap... we have high
debt to income ratio... would the
equity in our houses and the rent we could obtain be enough to qualify for a construction loan...
A lower
debt - to -
equity number means that a company is using less leverage and has a stronger
equity position.
If you think in terms of opportunity costs, it seems irrational to adopt any investing rule unconnected to whether the
position is undervalued and safe per traditional Graham / Buffett value metrics like PE, price to cash flow,
debt to
equity, current ratio, and DCF analysis.
In the ordinary course of its trading, brokerage, investment and asset management and financial activities, RBC and its affiliates may hold long or short
positions, and may trade or otherwise effect or recommend transactions, for its own account or the accounts of its customers, in
debt or
equity securities or loans of the Company or any other company that may be involved in a transaction with the Company.
Equity issuance,
debt amortization, re-financing & property revaluations have left the sector in an enviable
position — with a cap weighted average of only 55 %.
We regularly work with the firm's corporate lawyers on major
equity and
debt offerings, mergers, acquisitions and spin - offs, evaluating significant intellectual property issues ranging from patent protection for lead products and product candidates to the intellectual property
positions of close competitors.
Linklaters has a market - leading
position for banking and project finance,
equity and
debt capital markets, regulatory, true sale and synthetic securitisations, derivatives and other structured financings as well as investment funds.
Managed all aspects of banking relationship,
debt to
equity position and risk management.
The combined effect of rising asset value and falling
debt value has pushed up net
equity position of homeowners to $ 12 trillion, which has essentially doubled in the past four years.
where PE = present value of
equity position PD = present value of
debt position PT = present value of total investment
position
The investment value of a property can be calculated as the sum of the present value of the
equity position and the present value of the
debt position associated with its acquisition and / or development.
As long as your
debt - to - income ratio is low, however, and you have a larger
equity position — meaning you can afford a larger down payment — you stand a good chance of getting approved for a loan with a decent interest rate.
If as essentially a short
position, if market corrects, if issues happen with the asset, it's basically a loan to own strategy, where they can get in at a discount because they're in the
debt position, versus coming in behind a senior lender in an
equity position, is that what you're saying there?
What you're saying is basically these traditional
equity players that would have historically been in the GP or LP
position, that pricing last dollar in is inflated enough that they are now switching over to the
debt part of the stack, so they are in last dollar at like you said 75 or 80 cents on the dollar.
Prior to PCCP, Mr. Randall spent six years and invested over $ 1 billion in real estate
debt and preferred
equity positions within the Real Estate Private Equity group of Lehman Bro
equity positions within the Real Estate Private
Equity group of Lehman Bro
Equity group of Lehman Brothers.
This
positioned us as the world's second largest investor in real estate * with investments spread across direct and indirect
equity and
debt in Europe, the U.S. and the Asia Pacific region.