Certificate of Participation - COP

What Does Certificate of Participation - COP Mean?
A type of financing where an investor purchases a share of the lease revenues of a program rather than the bond being secured by those revenues.

Investopedia explains Certificate of Participation - COP
The authority usually uses the proceeds to construct a facility that is leased to the municipality, releasing the municipality from restrictions on the amount of debt that they can incur.

Filed Under: Acronyms, Bonds, Fixed Income

Related Terms

Financing
Lease
Off-Balance-Sheet Financing
Owner Financing
Revenue
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