Home > Term: refunding
refunding
The issuing of new debt for purposes of retiring earlier debt in order to take advantage of a drop in interest rates. The funds received from the new lower interest debt are invested in low-risk government securities, backing the original debt, with the maturity schedules corresponding to the call dates of the original bonds. Also known as Advance Refunding and Prerefunding.
- ส่วนหนึ่งของคำพูด: noun
- อุตสาหกรรม/ขอบเขต: Financial services
- Category: Funds
- Company: Merrill Lynch
0
ผู้สร้าง
- MJ63
- 100% positive feedback