Terrific content. I stumbled across your series and am super impressed by the logical and clear explanation of Private Equity. Great work. It's saved me a lot of time understanding how firms and deals are structured.
Nice. Currently all over world Banks are sitting on Cash to Lend but borrowers are hesitating to Borrow due to uncertainty.This leads more Equity & less Debt. Leveraging Benefits( Including Increase in ROI ) are vanished from mind' s of Finance Manager of the firms.Debt to Equity Ratio Highly Depends on Economic Conditions of the Country & Company. Correct ?
The amount of debt available certainly fluctuates over time, and it definitely varies by country. To your point, it will be interesting to see how lenders continue to respond to the pandemic. I also find non-bank lending sources interesting. Debt has become increasingly available from sources other than banks. The private debt market took off in response to the increased regulatory pressure facing banks following the last financial crisis. It currently stands at ~$900 billion up from ~$575 billion in 2016, and there is a growing concern that the loose lending standards that facilitated this growth will be exposed as the pandemic persists. I have a few "cov-lite" quotes should you be interested: www.wanttext.com/Home/list-detail/33/covenant-lite Thanks for commenting!
@@ASimpleModel Yes Money is Available in Both form Equity & Debt + Bank & Non bank .we called it NBFC here in India. Non Banking Finance Companies. Sub prime Loan given by NBFC will be "pain pockets" in our country India this is my personal Reading from market situation. Future Growth will remain subdued after 2 years this is what world Banks IMF Reports Says about India.This will Increase Equity Demand from Finance Manager over Debt.Debt to Equity Ratio will be in Favour of Equity for few years this is what I feel.Thanks.Regards.Nice work by Your channel.
Great review! Quick question. What’s the treatment of operating leases u see the US GAAP in terms of calculation of FCCR? Do you need to add back rent expense to EBITDA and at the same time add back same rent expense as part of debt service? Or use EBITDA in the nominator and use only Debt service to account for LTD and capital leases? Thank you
Loving ASM content! However, the 2billion loss tale could have been explained. I'd love to see (and was expecting to see) it be explained in a similar way as the Gibson example, with tables of value through time, and maybe noting when and why it went wrong.
Terrific content. I stumbled across your series and am super impressed by the logical and clear explanation of Private Equity. Great work. It's saved me a lot of time understanding how firms and deals are structured.
Thanks John! Really appreciate the comment.
I was justing thinking, I want to listen to debt ratio analysis tutorial. LOL. Good stuff.
hahaha :) most thankful that the internet has like minded humans...
Nice. Currently all over world Banks are sitting on Cash to Lend but borrowers are hesitating to Borrow due to uncertainty.This leads more Equity & less Debt. Leveraging Benefits( Including Increase in ROI ) are vanished from mind' s of Finance Manager of the firms.Debt to Equity Ratio Highly Depends on Economic Conditions of the Country & Company. Correct ?
The amount of debt available certainly fluctuates over time, and it definitely varies by country. To your point, it will be interesting to see how lenders continue to respond to the pandemic. I also find non-bank lending sources interesting. Debt has become increasingly available from sources other than banks. The private debt market took off in response to the increased regulatory pressure facing banks following the last financial crisis. It currently stands at ~$900 billion up from ~$575 billion in 2016, and there is a growing concern that the loose lending standards that facilitated this growth will be exposed as the pandemic persists. I have a few "cov-lite" quotes should you be interested: www.wanttext.com/Home/list-detail/33/covenant-lite Thanks for commenting!
@@ASimpleModel Yes Money is Available in Both form Equity & Debt + Bank & Non bank .we called it NBFC here in India. Non Banking Finance Companies. Sub prime Loan given by NBFC will be "pain pockets" in our country India this is my personal Reading from market situation. Future Growth will remain subdued after 2 years this is what world Banks IMF Reports Says about India.This will Increase Equity Demand from Finance Manager over Debt.Debt to Equity Ratio will be in Favour of Equity for few years this is what I feel.Thanks.Regards.Nice work by Your channel.
Great review! Quick question. What’s the treatment of operating leases u see the US GAAP in terms of calculation of FCCR? Do you need to add back rent expense to EBITDA and at the same time add back same rent expense as part of debt service? Or use EBITDA in the nominator and use only Debt service to account for LTD and capital leases? Thank you
Loving ASM content! However, the 2billion loss tale could have been explained. I'd love to see (and was expecting to see) it be explained in a similar way as the Gibson example, with tables of value through time, and maybe noting when and why it went wrong.
woops, UA-cam had already moved on to the next video, this comment was meant for "“What is Private Equity: Two Examples of Leverage”
Thanks! I tried to find more details on the wipeout... people don't like sharing when it's a loss :)