Senior debt: related pages
Subordinated debt
Debt that takes a lower priority than other debt if the event of the issuer's liquidation.
Hybrid security
A hybrid security or hybrid instrument is a security that has characteristics of both debt and equity.
Preference shares
Shares that pay fixed dividends: payment of both dividends and capital takes priority over that of ordinary shares.
Capital structure
The particular combination of debt, equity (shares) and other sources used by a company to finance its long term requirement for capital.
Capital structure irrelevance
The proposition that the proportion of debt to equity does not affect the total value (debt + equity) of a company.
WACC
The weighted average of the rates of return required by all of a company’s sources of capital.
Copyright Graeme Pietersz © 2005-2019
