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Negative covenant |
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Negative covenantA bond covenant that limits or prohibits certain actions unless the bondholders agree.Negative covenant Similar MatchesNegative NPV tie in projectNegative NPV tie in projectA negative-NPV infrastructure development project that a local government requires of a company engaged in a positive NPV investment project elsewhere in the country. N Negative AmortizationN Negative AmortizationA condition created when a loan payment is less than interest alone. Even though payments are made on time, the amount owing increases. Negative amortizationNegative amortizationA loan repayment schedule in which the outstanding principal balance of the loan increases, rather than amortizing, because the scheduled monthly payments do not cover the full amount required to amortize the loan. The unpaid interest is added to the outstanding principal, to be repaid later. Negative working capitalNegative working capitalOccurs when current liabilities exceed current assets, which can lead to bankruptcy. Negative yield curveNegative yield curveWhen the yield on a short-term security is higher than the yield on a long-term security, partially because high interest rates are creating a greater demand for short-term borrowing. Further SuggestionsNegative convexityNegative list Negative cash flow Negative pledge clause Negative duration Negative income tax Negative externality negative equity |
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