Asset coverage test

 

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Asset coverage test

A bond indenture restriction that permits additional borrowing if the ratio of assets to debt does not fall below a specified minimum.



Asset coverage test

Similar Matches

Coverage initiated

Coverage initiated

Usually refers to the fact that analysts begin following a particular security. This usually happens when there is enough trading in it to warrant attention by the investment community.


Coverage

Coverage

See: Fixed-charge coverage


Initiate coverage

Initiate coverage

(1) Firm is now followed by analysts at a particular securities house; (2) Indication to cover short position by purchasing the underlying stock (this cancels out the short position).


Preferred dividend coverage

Preferred dividend coverage

Net income after interest and taxes (before common stock dividends) divided by preferred stock dividends.


Cash flow coverage ratio

Cash flow coverage ratio

The number of times that financial obligations (for interest, principal payments, preferred stock dividends, and rental payments) are covered by earnings before interest, taxes, rental payments, and depreciation.


Further Suggestions

Guaranteed replacement cost coverage insurance
Debt service coverage
Debt service coverage ratio
Overall market price coverage
Coverage ratios
Adequacy of coverage
extended coverage


 
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