Conduit Financing

What does it Mean? A financing arrangement involving a government or other qualified agency using its name in an issuance of fixed income securities for a non-profit organization's large capital project.
Investopedia Says... The government or other qualified agency is not responsible for paying the required cash flows to investors - all cash flows come directly from the project.

Terms Related Links

Bond
Municipal Bond
Securities and Exchange Commission - SEC

Terms Related Links
Bond Basics Tutorial - Investing in bonds - What are they, and do they belong in your portfolio?



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