Bond Vs. Debenture
Debenture and bond are often used as interchangeable terms. Bond is used as a broader term which may include the debentures. Let’s categorize bonds… Read Article
Debt Financing
Recourse vs Non-Recourse Loan/Debt
Usually, debt or loan is secured against collateral, say ‘home’ in a home loan. In case the borrower defaults, the lender has the right… Read Article
Pecking Order Theory
Pecking order theory is a theory related to capital structure. Donaldson initially suggested it. In 1984, Myers and Majluf modified the theory and made… Read Article
Sources of Debt Financing
Meaning of Debt FinancingBusiness is in continuous need of funds for working capital needs or for incurring capital expenditures. In such scenarios, when the… Read Article
External Commercial Borrowing (ECB)
An external commercial borrowing (ECB) is an instrument used in India to facilitate Indian companies to raise money outside the country in foreign currency.… Read Article
Bonds and their Types
A bond is a financial instrument whereby its issuer raises (borrows) capital or funds at a certain cost for a certain time period and… Read Article