Quick Answer: What Does Perpetuity Mean In English?

What does perpetuity mean in the Bible?

Perpetuity, literally, an unlimited duration.

Thus, they utilized the word perpetuity—from the Latin in perpetuum, a Biblical phrase used when referring to God’s eternal continuance—to describe such an invalid limitation..

What does perpetually mean?

: in a perpetual or continuous manner A guardroom was established to each side of the prisoner’s casemate, in which a lamp burned perpetually.

At common law, a term may be implied into a perpetual contract which allows a party to terminate by giving “reasonable notice”. … “When the question arises whether a commercial agreement for an indefinite period may be terminated, the answer depends upon whether the agreement contains an implied term to that effect.

What is another word for perpetuity?

In this page you can discover 21 synonyms, antonyms, idiomatic expressions, and related words for perpetuity, like: eternity, endurance, eternality, world without end, continuance, forever, sempiternity, all-time, life, continuity and ceaselessness.

How long is perpetuity?

125 yearsA perpetuity period applies to future interests in assets (that is, interests that do not take effect immediately) that are subject to the rule against perpetuities. The perpetuity period may be: A prescribed statutory period of 125 years, under the Perpetuities and Accumulations Act 2009.

What is perpetuity with example?

A perpetuity is an annuity in which the periodic payments begin on a fixed date and continue indefinitely. … Fixed coupon payments on permanently invested (irredeemable) sums of money are prime examples of perpetuities. Scholarships paid perpetually from an endowment fit the definition of perpetuity.

What is perpetuity formula?

A perpetuity is a type of annuity that receives an infinite amount of periodic payments. … As with any annuity, the perpetuity value formula sums the present value of future cash flows. Common examples of when the perpetuity value formula is used is in consols issued in the UK and preferred stocks.

What is a good example of a perpetuity?

Real-life Examples One of the examples of a perpetuity is the UK’s government bond that is known as a Consol. Bondholders will receive annual fixed coupons (interest payments) as long as they hold the amount and the government does not discontinue the Consol.

One of the most common is the phrase “in perpetuity.” According to Black’s Law Dictionary, the definition of “in perpetuity” is “… that a thing is forever or for all time.” … This phrase is also used in situations where certain contract clauses will survive termination of the contract.

Can you buy a perpetuity?

An individual or a firm that buys a perpetuity-based investment expects payments to go on infinitely, usually after making a lump sum payment or a series of payments over time, in return for a perpetual cash stream in return. Consider an investor who purchases a stock that pays generous dividends.

What’s another word for forever?

In this page you can discover 62 synonyms, antonyms, idiomatic expressions, and related words for forever, like: eternally, till-death-do-us-part, everlastingly, always, endlessly, permanently, world without end, on-and-on, for-keeps, ad-infinitum and in perpetuity.

What is the definition of forever?

(Entry 1 of 2) 1 : for a limitless time wants to live forever. 2 : at all times : continually is forever making bad puns. forever.

How do you use the word perpetuity?

Perpetuity in a Sentence 🔉The greedy investor wanted to receive a royalty off the product in perpetuity. … As a devoted wife, I vow to love my husband in perpetuity. … John prayed the man who killed his daughter would suffer in perpetuity in prison.More items…

What is a $100 perpetuity?

The formula for the present value of a growth perpetuity is the payment amount divided by the rate of return less the grown rate. For example, say your perpetuity pays $100 annually, the rate of return is 3 percent and you expect the payment to increase by one percent a year.

Is perpetuity really forever?

Understanding Perpetuity A perpetuity is a type of annuity that lasts forever, into perpetuity. The stream of cash flows continues for an infinite amount of time.

Does perpetuity mean forever?

Continual existence—that elusive concept has made perpetuity a favorite term of philosophers and poets for centuries. … It frequently occurs in the phrase “in perpetuity,” which essentially means “forever” or “for an indefinitely long period of time.” Perpetuity also has some specific uses in law.

What is a perpetuity date?

The perpetuity period is the length of a life or lives in being, plus 21 years. A life in being means a life in being at the time of the disposition. … The perpetuity period will begin to run on the date of X’s death and will continue for the remainder of A’s life plus 21 years.

What is the opposite of perpetuity?

perpetuity. Antonyms: impermanence, transience, evanescence, discontinuance, casualty, momentariness. Synonyms: constancy, permanence, perennity, persistence, continuity, fixity.

What is true perpetuity?

A perpetuity is a stream of equal cash flows that occurs at regular intervals and lasts forever. You are given two choices of investments, Investment A and Investment B. Both investments have the same future cash flows. Investment A has a discount rate of 4% and Investment B has a discount rate of 5%.

What is a growing perpetuity?

A perpetuity refers to a series of cash flows that will continue forever. If the amount of the cash flow increases each period, we refer to it as a growing perpetuity.

What is difference between annuity and perpetuity?

An annuity is a set payment received for a set period of time. Perpetuities are set payments received forever—or into perpetuity. Valuing an annuity requires compounding the stated interest rate. Perpetuities are valued using the actual interest rate.