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Policy on Communication of Public Rating Actions
Policy on Communication of Public Rating Actions

The Development of Latin-American Bond Markets II
The Development of Latin-American Bond Markets II

Revision: Sources of finance
Revision: Sources of finance

... money because it makes a monthly payment. Businesses often lease cars or machinery but they never get to own them. However, they do get free upgrades and maintenance so the business’ cash flow may be more predictable. ...
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... issuing of shares without authorization. Persons in charge of the competent departments held responsible for such violations shall be given administrative sanctions by the department concerned. Persons in charge of a violating unit and other persons directly responsible shall be removed from their p ...
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... Uncertainty also increases and total return is not improved ...
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... Now we will calculate the for the above date using Dupont Approach; ROE = ROA x Equity Multiplier ROE = ...
Subprime mortgage lending has grown tremendously
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... risk, prepayment risk. Prepayment is a risk because the lender must reinvest the prepaid funds, which had been anticipated to yield a certain return, at an uncertain, and possibly lower, interest rate. The risk of prepayment is probably higher in the subprime mortgage market than in the prime mortga ...
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... called the face value, or par value, which is paid back at maturity. With bills, however, your initial investment is less than par. This is known as buying at a discount. At maturity, you’re paid the face value, so the interest you’ve received is equivalent to the discount you got when you first bou ...
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equity fund - Sun Life Financial
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... • Only one class of shares, with full voting rights: one share, one vote • Full tag along rights – Higher disclosure Standards • Annual financial statements in IFRS or US GAAP • Improved Quarterly Reports (ITRs), including an English version, consolidated financial statements and cash flow statement ...
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... when Hong Kong dollar interest rates fall below US dollar rates. Marking the value of securities to market, there may be an increase in the Monetary Base relative to the Backing Portfolio. The second is when the Hong Kong dollar strengthens, however slightly, against the US dollar, so that the US do ...
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I = prt - SWMStbradford

... Interest is the amount of money Interest: _____________________________ charged for borrowing or using money. ______________________________________ (Examples: Car loans, home loans, student loans, ______________________________________ Investments, savings accounts) _______________________________ ...
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Securitization

Securitization is the financial practice of pooling various types of contractual debt such as residential mortgages, commercial mortgages, auto loans or credit card debt obligations (or other non-debt assets which generate receivables) and selling their related cash flows to third party investors as securities, which may be described as bonds, pass-through securities, or collateralized debt obligations (CDOs). Investors are repaid from the principal and interest cash flows collected from the underlying debt and redistributed through the capital structure of the new financing. Securities backed by mortgage receivables are called mortgage-backed securities (MBS), while those backed by other types of receivables are asset-backed securities (ABS).Critics have suggested that the complexity inherent in securitization can limit investors' ability to monitor risk, and that competitive securitization markets with multiple securitizers may be particularly prone to sharp declines in underwriting standards. Private, competitive mortgage securitization is believed to have played an important role in the U.S. subprime mortgage crisis.In addition, off-balance sheet treatment for securitizations coupled with guarantees from the issuer can hide the extent of leverage of the securitizing firm, thereby facilitating risky capital structures and leading to an under-pricing of credit risk. Off-balance sheet securitizations are believed to have played a large role in the high leverage level of U.S. financial institutions before the financial crisis, and the need for bailouts.The granularity of pools of securitized assets can mitigate the credit risk of individual borrowers. Unlike general corporate debt, the credit quality of securitized debt is non-stationary due to changes in volatility that are time- and structure-dependent. If the transaction is properly structured and the pool performs as expected, the credit risk of all tranches of structured debt improves; if improperly structured, the affected tranches may experience dramatic credit deterioration and loss.Securitization has evolved from its beginnings in the late 18th century to an estimated outstanding of $10.24 trillion in the United States and $2.25 trillion in Europe as of the 2nd quarter of 2008. In 2007, ABS issuance amounted to $3.455 trillion in the US and $652 billion in Europe. WBS (Whole Business Securitization) arrangements first appeared in the United Kingdom in the 1990s, and became common in various Commonwealth legal systems where senior creditors of an insolvent business effectively gain the right to control the company.
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