Debt

While both debt and equity investments can yield strong returns, there are several distinctions to be aware of. Bonds and mortgages are examples of debt investments that include set payments to the investor, including interest. Stocks, for example, are equity investments that give you a “claim” on the company’s earnings and/or assets. The most popular […]

Debt funds generally invest in debt and money market securities. Commercial papers (CPs), certificates of deposits (CDs), Treasury bills (T-Bills), and other money market products are examples. Non-convertible debentures (NCDs), Government Bonds or G-Secs, and other debt market products are examples. The primary goal of debt or money market instruments investing is to generate revenue

“Aren’t all mutual funds the same?” you might wonder. After all, isn’t it a Mutual Fund?” Gokul enquired. Harish, a Mutual Fund distributor, smiled at him. Many people had made such a statement before, and he was all too familiar with it. A lot of individuals believe that all mutual funds are the same. There

The European debt crisis is a long-running financial crisis that has made it difficult or impossible for several euro-area nations to repay or refinance their government debt without the help of third parties. The European sovereign debt crisis arose from the eurozone’s structural problem and a complex set of factors, including globalisation of finance; easy

Debt factoring is a type of financing provided by a debt factoring lender to assist firms in leveraging their accounts receivable and injecting cash into the business quickly. The debt factoring company often pays the business a portion of the total amount charged to the client and assumes full responsibility for collecting payment from the

Debt rescheduling is the process of extending the time it takes to repay a debt by reworking the conditions of an existing loan. What is meant by rescheduling of loans? Loan rescheduling entails extending or adding time to your existing loan term, resulting in a change in your monthly instalment amount, allowing you to pay

Debt funding for startups refers to the various methods in which a new business can be given capital to help it grow beyond the startup stage. Is debt financing good for startups? In order to originate loans or allow consumers to finance assets such as property or machinery, fintech lending or financing companies require debt

Debt review, often known as financial counselling, is a debt solution aimed for over-indebted South Africans who are having trouble managing their money. To prevent customers from being placed into personal administration and having to deal with the long-term consequences, the National Credit Act (NCA) established the statutory debt rehabilitation program, debt review. The procedure

Debt is when one party borrows something from another, usually money. Many businesses and individuals utilize debt to finance significant purchases that they would not be able to make under normal circumstances. A debt agreement allows the borrowing party to borrow money on the condition that it be repaid at a later date, usually with

In business, government, and personal finance, the debt-service coverage ratio is used. The debt-service coverage ratio (DSCR) is a measure of a company’s available cash flow to fulfill current debt obligations in the context of corporate finance. The DSCR informs investors about a company’s ability to pay its debts. How do you calculate debt service