Eurocommercial Paper

AAA

DEFINITION of 'Eurocommercial Paper'

An unsecured, short-term loan issued by a bank or corporation in the international money market, denominated in a currency that differs from the corporation's domestic currency.

INVESTOPEDIA EXPLAINS 'Eurocommercial Paper'

For example, if a U.S. corporation issues a short-term bond denominated in Canadian dollars to finance its inventory through the international money market, it has issued eurocommercial paper.

RELATED TERMS
  1. Eurocurrency

    Currency deposited by national governments or corporations in ...
  2. Commercial Paper

    An unsecured, short-term debt instrument issued by a corporation, ...
  3. Corporation

    A legal entity that is separate and distinct from its owners. ...
  4. Loan

    The act of giving money, property or other material goods to ...
  5. Unsecured Loan

    A loan that is issued and supported only by the borrower's creditworthiness, ...
  6. Money Market

    A segment of the financial market in which financial instruments ...
Related Articles
  1. How International Tax Rates Impact Your ...
    Forex Education

    How International Tax Rates Impact Your ...

  2. 6 Factors That Influence Exchange Rates
    Bonds & Fixed Income

    6 Factors That Influence Exchange Rates

  3. The Money Market
    Retirement

    The Money Market

  4. Certificates Of Deposit
    Bonds & Fixed Income

    Certificates Of Deposit

Hot Definitions
  1. Financing Entity

    The party in a financing arrangement that provides money, property, or another asset to an intermediate entity or financed ...
  2. Hyperinflation

    Extremely rapid or out of control inflation. There is no precise numerical definition to hyperinflation. Hyperinflation is ...
  3. Gross Rate Of Return

    The total rate of return on an investment before the deduction of any fees or expenses. The gross rate of return is quoted ...
  4. Debit Spread

    Two options with different market prices that an investor trades on the same underlying security. The higher priced option ...
  5. Leading Indicator

    A measurable economic factor that changes before the economy starts to follow a particular pattern or trend. Leading indicators ...
  6. Wage-Price Spiral

    A macroeconomic theory to explain the cause-and-effect relationship between rising wages and rising prices, or inflation. ...
Trading Center