Results for tag: "Subordination"

Subordination is a financial market that involves the subordination of one debt instrument to another. This means that the debt instrument that is subordinated has a lower priority than the other debt instrument. This is often done to provide additional security to the lender. Subordinated debt is typically used in leveraged buyouts, real estate financing, and other high-risk investments. Subordinated debt is often used to provide additional security to the lender, as it is not as easily liquidated as other debt instruments. This means that the lender is more likely to receive their money back in the event of a default. Subordinated debt is also used to provide additional capital to a company, as it is not as expensive as other forms of debt. Subordination is a popular market for investors, as it provides a higher return than other forms of debt. It is also a popular market for companies, as it allows them to access additional capital without taking on too much risk. Some of the companies in the subordination market include Goldman Sachs, Morgan Stanley, Credit Suisse, and UBS. Show Less Read more