Adam Hayes, Ph.D., CFA, is a financial writer with 15+ years Wall Street experience as a derivatives trader. Besides his extensive derivative trading expertise, Adam is an expert in economics and ...

Capital is money companies raise for long-term business investments and expenses. Long-term financing and investor equity are the two primary sources of capital. The optimum balance is referred to as ...

A number of developments in the past few years have dramatically changed the framework for evaluating capital structure alternatives for U.S. insured depository institutions of all sizes. First, the ...

Disclaimer: This Working Paper should not be reported as representing the views of the IMF.The views expressed in this Working Paper are those of the author(s) and do not necessarily represent those ...

A multiperiod model of optimal capital structure is developed under the assumption that earnings follow an autoregressive process. Firm value and leverage vary through time and, at each date, the firm ...

Discover how evaluating a company’s capital structure—its mix of debt and equity—provides essential insights into financial ...

This is a preview. Log in through your library . Abstract Traditional finance studies have found that firm value is maximised at a mid-range level of leverage. This paper empirically tests the effect ...

Capital structure is a term that describes the proportion of a company’s capital, or operating money, that is obtained through debt versus the proportion obtained through equity. Debt includes loans ...

Antill, Samuel, and Steven R. Grenadier. "Optimal Capital Structure and Bankruptcy Choice: Dynamic Bargaining vs Liquidation." Journal of Financial Economics 133, no. 1 (July 2019): 198–224.