Private-Equity Fund A private equity fund is a pooled investment vehicle in which the advisor collects all of the money put in the fund by all of…
Financial Stability Board (FSB) The Financial Stability Board (FSB) is an international organization that analyzes the global financial system and offers recommendations. The FSB was established following the G20…
Buy-In Management Buyout (BIMBO) A buy-in management buyout (BIMBO) combines a management buy-in and a management buyout into one transaction. It’s a type of leveraged buyout (LBO) that combines…
Advantages and Disadvantages of a Management Buyout (MBO) A management buyout (MBO) is a form of acquisition in which the firm’s management takes control of the company by expanding their equity share or…
Management Buyout (MBO) A management buyout (MBO) is a corporate finance transaction in which a running firm’s management team purchases the company by borrowing money to buy out…
Institutional Buyout (IBO) An institutional buyout (IBO) is a type of acquisition (buyout) in which a controlling interest (at least 51%) in a company is purchased by an…
Leveraged Loan A leveraged loan is a loan given to a company that already has short or long-term debt on its books, or that has a bad…
Asset Turnover Ratio The asset turnover ratio, also known as the total asset turnover ratio, is the ratio between a company’s net sales and the total average assets…
Goodwill to Assets Ratio In business, goodwill is linked with reputation, and it can be a valuable asset. The goodwill to assets ratio is a metric in a company’s…
Debt to Income (DTI) Ratio The debt-to-income (DTI) ratio is a statistic used by creditors to assess a borrower’s ability to repay debts and make interest payments. DTIs might comprise…
Debt to Asset Ratio The debt to asset ratio, often known as the debt ratio, is the decimal or percentage ratio of total debt to total assets. It’s a…
Degree of Total Leverage (DTL) The degree of total leverage (DTL) is a measure that compares the rate of change in a company’s earnings per share (EPS) to the rate…