Capital note

Capital note

In structured finance the Capital note is the most junior security issued by a Structured investment vehicle. It is comparable to the Equity Tranche of a CDO. Investors who buy the Capital Notes are the first in line to bear risk if the cash flows from the SIV's assets are insufficient to cover promised payments to all investors.

See Securitization transaction for more details on how the process of slicing up risk (or "tranching") works.


Wikimedia Foundation. 2010.

Игры ⚽ Поможем решить контрольную работу

Look at other dictionaries:

  • Capital Note — Short term unsecured debt generally issued by a company to pay short term liabilities. Capital notes carry more risk than other types of secured corporate debt, because capital note holders have the lowest priority. The capital note often has a… …   Investment dictionary

  • mandatory capital note — United Kingdom See contingent convertible bond Practical Law Dictionary. Glossary of UK, US and international legal terms. www.practicallaw.com. 2010 …   Law dictionary

  • enhanced capital note — United Kingdom See contingent convertible bond. Practical Law Dictionary. Glossary of UK, US and international legal terms. www.practicallaw.com. 2010 …   Law dictionary

  • Capital gains tax in Australia — Capital Gains Tax (CGT) in Australia applies to the capital gain made on disposal of any asset, except for specific exemptions. The most significant exemption is the family home. Rollover provisions apply to some disposals, one of the most… …   Wikipedia

  • Capital, Volume I — is the first of three volumes in Karl Marx s monumental work, Das Kapital, and the only volume to be published during his lifetime. Originally published in 1867, Marx s aim in Capital, Volume I is to uncover and explain the laws specific to the… …   Wikipedia

  • capital — capital, ale (ka pi tal, ta l ) adj. 1°   Où il s agit de la tête ou de la vie ; qui mérite le dernier supplice. Procès capital. Intenter une accusation capitale. Condamner quelqu un à la peine capitale. •   Et Cinna vous impute à crime capital… …   Dictionnaire de la Langue Française d'Émile Littré

  • Capital-risque — Les investisseurs en capital risque apportent du capital, ainsi que leurs réseaux et expériences à la création et aux premières phases de développement d entreprises innovantes ou de technologies considérées comme à fort potentiel de… …   Wikipédia en Français

  • Capital Risque — Les investisseurs en capital risque apportent du capital, ainsi que leurs réseaux et expériences à la création et aux premières phases de développement d entreprises innovantes ou de technologies considérées comme à fort potentiel de… …   Wikipédia en Français

  • Capital risqueur — Capital risque Les investisseurs en capital risque apportent du capital, ainsi que leurs réseaux et expériences à la création et aux premières phases de développement d entreprises innovantes ou de technologies considérées comme à fort potentiel… …   Wikipédia en Français

  • CAPITAL PUNISHMENT — CAPITAL PUNISHMENT, the standard penalty for crime in all ancient civilizations. In the Bible Many of the crimes for which any biblical punishment is prescribed carry the death penalty. The three methods of executing criminals found in the Bible… …   Encyclopedia of Judaism

Share the article and excerpts

Direct link
Do a right-click on the link above
and select “Copy Link”