100-Year Fixed-Rate Corporate Debt Functions Economically as Fixed-Cost Equity
Tom Gaynor · Tom Gayner: Invest Like The Best · Jan 23, 2024 · at 54:25
Markel CEO Tom Gaynor discusses corporate debt duration and capital structure strategy with Shane Parrish, citing The Walt Disney Company's 100-year bond issuance.
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“So if you're Walt Disney and you can issue a hundred year debt at those kinds of rates, use all the debt that they will give you. Cause really what the label is debt, that's fixed cost equity.”
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