Finance

A liquidation preference is a clause in a contract that dictates the payout order in case of a corporate liquidation. It is one of the…

In finance, a convertible bond or convertible note is a type of bond that the holder can convert into a specified number of shares of…

Exchangeable bond (XB) is a type of hybrid security consisting of a straight bond and an embedded option to exchange the bond for the stock…

A convertible security is an investment that can be changed into another form. It is a security that can be converted into another security. Both…

A hybrid security is single financial security that combines two or more different financial instruments. Hybrid securities are a broad group of securities that combine…

Internal Audit is a function, while Internal Control is a system. Internal audits are performed at specific times to assess: 1) if the company has…

Vulture funds deal with distressed securities, which have a high level of default and are in or near bankruptcy. A vulture fund is a hedge fund,…

Credit risk is a measure of the creditworthiness of a borrower. It is the risk of default on a debt that may arise from a borrower…

Definition of Balance Sheet – Balance Sheet is a summary of the financial balances of an individual or an organization. A balance sheet is often…

Venture debt or venture lending refers to a variety of debt financing products offered to early and growth-stage venture capital-backed companies. It is a type…

A shareholder loan is a debt-like form of financing provided by shareholders. For the purpose of the loan, the Shareholder is treated the same as…

Limited Company is a general form of incorporation that limits the amount of liability undertaken by the company’s shareholders. It is one of the most…