Equity
in sentence
1327 examples of Equity in a sentence
Greater pay regulation will drive the most talented away from regulated banks and towards hedge funds, private
equity
funds, boutique investment banks, and other unregulated investment firms.
Higher and pro-cyclical equity-capital requirements on banks, combined with a requirement to raise contingent long-term debt – debt that converts into
equity
in a crisis – is a better way forward.
The typical bank is capitalized with equity, long-term debt, short-term debt, and deposits.
Investment banks like Bear Stearns and Lehman Brothers got into trouble because they had too little
equity
capital – far less than 10%.
Regulators might consider imposing pro-cyclical
equity
requirements – increasing the
equity
percentage in boom times in order to offset losses in the inevitable bust times.
In addition, regulators should require banks to issue an additional amount of capital – say, 10% – in the form of long-term debt that is forced to convert into
equity
if the bank and the overall banking system get into financial difficulty.
But there is little evidence that low interest rates have been behind the continued rise in
equity
prices from 2012 to 2015 – a period when markets were anticipating an interest-rate hike.
Big German corporations no longer depend exclusively on banks for their finance but, increasingly, are tapping international capital markets directly, so as to raise funds through commercial paper, bond, or
equity
issues.
Little wonder, then, that we are now witnessing a significant correction in equity, credit, and commodities markets.
Moreover, London's unique role in bringing together the full range of financial services that serve the continent – the City is home to 250 global banks with 160,000 employees and accounts for 80% of Europe's hedge funds, 78% of its foreign-exchange trades, 74% of its derivatives, and 57% of its private
equity
– would be jeopardized as well.
On the contrary, economic theorists have been puzzled by the historical rate of increase in the stock market, which they call “the
equity
premium puzzle.”
And in many countries, the system of land registration and property rights needs to be formalized, so that individuals and companies gain
equity
against which they can borrow to invest in their businesses.
The 17 SDGs, which include 169 individual targets, constitute an ambitious agenda to address everything from gender
equity
to sustainable cities and climate change.
In the past few decades, it has become conventional for
equity
investors to base their decisions on neutral benchmarks determined by the market capitalization of companies and indices.
Attempts to bring economic rationality and
equity
to American medicine date back to immediately after World War II, when President Harry Truman's proposal for establishing a national health insurance system brought cries of "socialized medicine" and quick defeat in Congress.
Efficiency and
equity
require that this tax be levied on a broad base, harmonized at the EU level, and set at a modest rate.
Meanwhile, the ECB has announced that it will have to double its
equity
capital.
It requires a fiscal policy that focuses not only on efficiency, but also on
equity
– particularly on fairness in sharing the burden of adjustment, and on protecting the weak and vulnerable.
Otherwise, their firms would have been able to tap the trillions of dollars now sitting on the sidelines, held by sovereign wealth funds, private
equity
groups, hedge funds, and others.
True, the Treasury will take
equity
stakes in some firms, so there is some upside potential.
The chances for increased scale and competitiveness of key financial sectors, such as insurance, pension funds, and
equity
markets, will be real.
While
equity
and credit markets did rebound from their May-June dislocation, higher interest rates have hit the housing market quite hard, reflected in a sharp fall in the mortgage-refinance index, lower home affordability, and declining purchases.
Apparently unfazed by disappointing growth in both advanced and emerging economies, or by surging geopolitical tensions in Eastern Europe and the Middle East,
equity
markets have set record after record this year.
Traditional recommendations like free trade, competitive exchange rates, and sound fiscal policy are worthwhile only to the extent that they achieve other desirable objectives, such as faster economic growth, lower poverty, and improved
equity.
Operating big financial firms with small amounts of
equity
capital and a lot of debt may be in the interest of their managers, but it is definitely not in the interest of the rest of society.
For example, new rules for foreign banks operating in the US essentially require them to fund themselves with as much
equity
as US banks.
Until the financial crisis, the easy availability of credit, especially against home equity, enabled the middle class to sustain higher consumption despite stagnant incomes.
Seizing on a $93 million debt that Armenia owed to Russia, the Putin administration demanded payment in either cash or
equity
in Armenia’s major industries.
Rather than going along with the new 8% reserve requirement adopted elsewhere, the SNB now demands
equity
capital equal to 19% of risk-weighted assets, of which 9% can be held in convertible capital, while 10% must be held in common
equity.
So, while US multinationals may not have been shifting jobs to their foreign subsidiaries, they, like other US companies, were probably outsourcing more of their production to foreign contractors in which they held no
equity
stake.
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