Discretionary Account
What is a Discretionary Account? A discretionary account is an account for investing that allows an authorized broker to trade securities on behalf of a client without getting the client’s approval for each trade. For a discretionary account to be active, the client will sign a discretionary disclosure agreement with the designated broker...
Multi-Asset Class
What Does Multi-Asset Class Mean? Multi-asset class is a phrase used to signal that an investment is made up of a combination of asset classes (such as cash equivalents, equities, or bonds). A multi-asset class investment, or investment strategy, always contains more than one asset class, which creates a group of assets that adds diversification...
Distressed Securities
What are Distressed Securities? Distressed securities are securities of a company experiencing financial distress or bankruptcy, specifically, a company that sees its bond rating downgraded by rating agencies to a CCC bond rating or below. Distressed securities sell at a large discount to their intrinsic value due to the significant risk involved in holding them....
Delayed Draw Term Loan (DDTL)
What is a Delayed Draw Term Loan (DDTL)? A delayed draw term loan (DDTL) is a negotiated term loan option where borrowers are able to request additional funds after the draw period of the loan’s already closed. Draw term loans are structured with a maximum loan amount that can be accessed throughout a certain time...
A-Shares
What are A-Shares? A-shares are a share classification for common or preferred stock. Share classification refers to the different types of shares that investors can own in a company’s stock. The different types of shares provide different levels of benefits and rights. For example, a company may issue Class A, Class B, and Class C...
