cost of capital

“Every single basis point in your cost of capital comes with pages and pages of legal docs of other types of structures to protect the lender. So it's not like just one person's offering you nine and the other person's offering you 14. There's a lot that comes …”

“The private markets have done what they do, which is they take forever to actually get reality checks. For the most part, the marks have been way slower and way less than I would have expected, even for this stage, given the increase in the cost of capital. So…”

“Obviously, there's an adjustment as the cost of capital goes up, leverage strategies get hurt, and then there has to either be more equity in deals and prices have to come down.”

“With long track records of low losses at the portfolio level, maybe all sponsors would generate higher returns by exchanging cross-collateralization for a lower cost of capital.”

“So it turns out it's really interesting that companies, they calculate their cost of capital. They know it, but they don't use it. For almost everything they do, they use a hurdle rate, and that hurdle rate's roughly 15%. So whether the cost of capital goes to…”

“Most companies do revert over time to cost capital.”