capital structure

[ˈkæpɪtəl ˈstrʌktʃər]
nounpl: capital structures
estrutura de capital
1. The composition of a company's financing, including the mix of debt and equity used to fund its assets and operations
The company's capital structure consists of 60% debt and 40% equity.
A estrutura de capital da empresa é composta por 60% de dívida e 40% de patrimônio líquido.
2. The specific combination of stocks, bonds, and other financial instruments that a firm uses to finance its investments
Optimizing the capital structure can reduce the company's weighted average cost of capital.
Otimizar a estrutura de capital pode reduzir o custo médio ponderado de capital da empresa.
3. The distribution of financial resources between different classes of securities and liabilities
The bank analyzed the capital structure to assess financial risk.
O banco analisou a estrutura de capital para avaliar o risco financeiro.
Capital structure is a fundamental concept in corporate finance and is extensively studied in business schools and financial institutions in both the USA and Brazil. In Brazil, discussions about capital structure are particularly important for understanding how companies navigate access to credit and equity markets. The concept is crucial in financial decision-making for multinational corporations operating in both countries, where tax implications and regulatory requirements differ significantly.
Synonyms / Sinônimos
capital mixfinancing structuredebt-equity mixfinancial structure

Regional Variations

General Brazilian
estrutura de capital
Standard term used in business and finance contexts throughout Brazil
São Paulo
estrutura de capital / estrutura de financiamento
Commonly used in corporate finance discussions in Brazil's main financial hub
Portugal
estrutura de capital
Same term used in Portuguese business and academic contexts
General USA
capital structure
Standard financial and corporate terminology in American English

Related Words

leverageequitydebtweighted average cost of capitalfinancingsolvencybalance sheet

Related Idioms & Phrases

optimize capital structure
balance the capital structure
capital structure ratio
cost of capital structure
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