Words T3

Leasing

Written or implied contract by which an owner (the lessor) of a specific asset (such as a parcel of land, building, equipment, or machinery) grants a second party (the lessee) the right to its exclusive possession and use for a specific period and under specified conditions, in return for specified periodic rental or lease payments. A long-term written lease (also called a deed) creates a leasehold interest which in itself can be traded or mortgaged, and is shown as a capital asset in a firm's books.

Spanish translation: Arrendamiento financiero

Examples:

• ‘Leasing land for recreational hunting can provide Oklahoma landowners will a little extra cash in their pocket, labor resources for their land, perhaps a few new friends and a reduction in trespassing.’

Found in: http://www.newstimes.com/news/article/Oklahoma-residents-benefit-from-leasing-land-to-10690664.php

• ‘While construction started on the 374-unit complex last fall, officials with the company, one of the largest apartment developers in the nation, said the first units in Kennedy Flats will be available by January. Already the phones in the leasing office are ringing with potential tenants.’

Found in: http://www.newstimes.com/business/article/Leasing-office-opens-for-Kennedy-Flats-in-Danbury-6481181.php

Loan

Is the lending of money from one individual, organization or entity to another individual, organization or entity. A loan is a debt provided by an entity to another entity at an interest rate, and evidenced by a promissory note which specifies, among other things, the principal amount of money borrowed, the interest rate the lender is charging, and date of repayment. A loan entails the reallocation of the subject asset for a period of time, between the lender and the borrower.

Spanish translation: Préstamo

Examples:

• ‘Interest rates have a huge effect on loans.’

Found in: http://www.investopedia.com/terms/l/loan.asp

• ‘In 2010 student loans overtook credit cards to become the biggest source of American household debt other than mortgages.’

Found in: http://www.economist.com/news/united-states/21708241-hillary-clintons-college-funding-plan-better-politics-policy-more-present?zid=316&ah=2f6fb672faf113fdd3b11cd1b1bf8a77

Preference shares

Shares representing part of the capital issued by a company and entitling their holders to priority with respect to both net profit and net assets. Preference shares usually carry a definite rate of dividend that is generally lower than that declared on ordinary shares.

Spanish translation: Acciones preferentes

Examples:

• ‘Listed perpetual preference (pref) shares are finally showing some sign of life after a decline between 2012 and early 2016 in which the JSE pref index shed a quarter of its value.’

Found in: http://www.financialmail.co.za/moneyinvesting/2016/04/28/preference-shares-a-rally-at-last

• ‘Barclays issues subordinated debt instruments and preference shares that contribute to the strengthening of our capital position.’ 

Found in: https://www.home.barclays/barclays-investor-relations/treasury-and-capital/subordinated-debt-and-preference-shares.html

Subprime Mortgage

A subprime mortgage is a type of mortgage that is normally issued by a lending institution to borrowers with low credit ratings

Spanish translation: Hipoteca Subprime

Examples:

• ‘In this scene appears "Michael Burry" who discovers as there are numerous bonds that are with a high percentage of subprime mortgages and deduces that from 2007 the bonds were worthless.‘

Found in: http://wibaf.blogspot.com.es/search/label/T3

• ‘The subprime mortgage crisis occurred when banks used home mortgages to underwrite mortgage-backed securities, and then went bankrupt after the housing market collapsed.’

Found in: https://www.thebalance.com/subprime-mortgage-crisis-4073020