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2025-03-07 14:44:42

brock on Nostr: Reminder: debt is a priority claim on assets while equity is a residual claim. As ...

Reminder: debt is a priority claim on assets while equity is a residual claim.

As debt gets more expensive, equity will become worth less.

Whatever is happening in the markets to hold equities higher even as debt gets more expensive eventually will fail because of these simple definitions.
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