ABSOLUTE PRIORITY
It is a rule that says the order of payment when a company liquidates its asset—creditors first before the shareholders. This rule is commonly used in bankruptcy to decide how much each participant will receive. As a rule, creditors will be the first priority then what’s left will be divided by the part-owners or the shareholders.
When it comes to the assets of a deceased person, the absolute priority rule states that creditors will be paid first before the distribution to the rightful beneficiaries.
It is another term for liquidation preference.
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ECONOMIC CALENDAR
| Time | Country | Indices | Period |
|---|---|---|---|
| 07:00 | Leading Indicators | Aug | |
| 11:00 | Ifo Business Climate Index | Oct | |
| 11:00 | Ifo Current Assessment | Oct | |
| 11:00 | IFO - Expectations | Oct | |
| 13:00 | CBI retail sales volume balance | Oct | |
| 01:50 | Corporate Service Price Index | Sep | |
| 02:01 | BRC Shop Price Index | Oct | |
| 07:00 | BOJ Core CPI | Sep | |
| 10:00 | Unemployment Rate | 3 quarter |
