Week 9 Flashcards
1
Q
Equity investment may take several forms:
A
- Direct investment vs. Funds (closed/open-ended)
- Listed vs. Unlisted
- Primary vs. Secondary
- Specific vs. Index
- Defensive vs. Aggressive (e.g. Energy)
2
Q
Infrastructure equity may cover:
A
- Utilities (listed or unlisted)
- Privatised non-utilities assets (airports)
- Non-recourse finance (generally unlisted – but some major exceptions: see Eurotunnel)
3
Q
RAB
A
Regulated asset base
4
Q
Subordinated debt
A
Subordinated debt is a loan or security that ranks below other loans or securities with regard to claims on assets or earnings. Subordinated debt is also known as a junior security or subordinated loan. In the case of borrower default, creditors who own subordinated debt won’t be paid out until after senior debt holders are paid in full.
5
Q
Following privatisation of all water assets in 1989, there
are ______ Water and Sewage Companies (WASCs)
operating as local monopolies
A
10
6
Q
In EMDEs, ____ of defaults are due to country risk. In advanced economies, ______ of defaults are caused by market risk.
A
40-50%; 50-60%
7
Q
A
