But the concern
over debt maturity and refinancing risk that gave folks the willies in the years after the financial crisis is misplaced today.
Not exact matches
Second, the average time to
maturity on U.S.
debt is six years, meaning that most of the low - yielding bonds now on the books will be exchanged for more expensive
debt over the next decade.
Though the weighted - average
maturity of Treasury
debt is currently longer than normal, the average is still only 5.8 years, and half of the
debt will have to be rolled
over by 2019, at whatever interest rates emerge in the interim.
TeenAnalyst Advice: Treasury
debt is offered in a number of different forms, such as?Treasury bills:
maturities less than a year.Treasury notes:
maturities of 1 - 10 years.Treasury bonds:
maturities over 10 years.
CFOs, meanwhile, estimate the premium to be 5.6 %
over T - bills (U.S. government
debt obligations with
maturities of less than one year) and 3.8 %
over T - bonds (
maturities of greater than ten years).
For this reason, GSE
debt obligations often carry a yield premium
over Treasury securities with comparable
maturities.
stocks that pay a fixed dividend; have dividend and asset preference
over common stocks, but behind
debt in the case of bankruptcy; generally does not come with voting rights; either perpetual (have no
maturity) or
maturities of 30 years or more; can be callable
Many lending covenants will keep companies to something like a 5 to 1
debt to earnings / EBITA ratio, so if the loan
maturities are evenly spread out
over 5 + years, it should be possible to become
debt free by paying off the loans as they mature (by suspending dividends / capital reinvestment spending / deferring maintenance etc).
Debt maturities are fairly evenly distributed
over the next 11 years, with a peak
maturity of only EUR 23 mio in 2015.
Well, as I highlighted in my last post, the average European
debt maturity is
over 7 years.
As the CBO has projected huge deficits PLUS huge
debt roll -
overs (average
maturity down from 7 years to 4 years) up to at least 2019, do you think we could extend the» printing» by foreign central banks — CB's» buying» each others
debt — for at least 10 more years?
However, if this amount is not paid by the
maturity date, the
debt will «roll
over» into a new loan.
Realty Income finances half its capital structure with
debt and has an average of $ 262 million in
maturities over the next four years.
This term mismatch requires that they roll
over their short - term
debt before the
maturity of their assets.
To be sure, asset classes such as bank loans, high - yield bonds, and emerging market
debt require the investor to bear credit risk, but the yield spread
over the comparable -
maturity government bond provides compensation for this risk.
When their average
debt maturity gets too short, they have a crisis rolling
over the
debt.
Over the last six years, I have called attention to the way that the US government has been shortening the
maturity structure of its
debt.
Overlooked in the current European hysteria is that the average sovereign
debt maturity there is
over 7 years — countries have a significant window before headline rates really start to hurt.
They plan to keep reducing the equity exposure
over time so that by the time of
maturity they have an entire portfolio of
debt securities.
This term mismatch requires that they roll
over their short - term
debt before the
maturity of their assets.
There are no major long ‐ term
debt maturities over the next five years, and we maintain significant liquidity to meet our obligations and fund future expected growth.