Funding Operations

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Dictionary Says

Definition of 'Funding Operations'

  1. The process a government uses to swap out floating stock or short-term bonds for long-term bonds. Because floating stock does not guarantee payout or a fixed rate of interest, swapping it for funded debt (long-term bonds that carry a fixed rate of interest) introduces more stability into the government's financing of its national debt.
  2. The process a company uses to convert its capital funding from short-term to long-term debt instruments.
Investopedia Says

Investopedia explains 'Funding Operations'

In July of 2009, amid the lingering global credit crisis, Sheila Bair, Chairwoman of the Federal Deposit Insurance Corporation (FDIC) weighed in on the creation of a Financial Services Oversight Council to prevent a recurrence of the global economic meltdown and credit market freeze of 2007-2008. As part of the proposed Council's work, it was suggested that financial companies be subject to rules that would require them to issue short-term debt that would automatically convert to long-term debt under certain conditions such as during a liquidity crisis.
Search results for

'Funding Operations'

  • When Wholesale Funding Goes Bad

    http://www.investopedia.com/articles/economics/09/when-wholesale-funding-goes-bad.asp
    ... wholesale funding in and of itself is not necessarily a bad thing. Under the right
    conditions, it allows banks an additional source of financing for operations ...

  • Analyze Cash Flow The Easy Way

    http://www.investopedia.com/articles/stocks/07/easycashflow.asp
    ... This shows not only the company's ability to generate cash flow but it also signals
    that the company should be able to continue funding its operations. ...

  • How can average investors get involved in an IPO?

    http://www.investopedia.com/ask/answers/08/ipo-participation.asp
    ... public. An IPO often serves as a way for companies to raise capital for funding
    current operations and new business opportunities. To ...

  • A Turbulent Year For Airlines

    http://stocks.investopedia.com/stock-analysis/2009/A-Turbulent-Year-for-Airlines-DAL-CAL-AMR-UAUA-BA1215.aspx
    ... While some of that money will likely go to funding continuing operations, which
    have become more costly as fuel costs have climbed with the price of oil, some ...

  • The 5 Best Corporate Comebacks - Investopedia.com

    http://financialedge.investopedia.com/financial-edge/0311/The-5-Best-Corporate-Comebacks.aspx
    ... Nearly $200 billion in government bailout funding was required and the company ... it
    has been in the process of selling off profitable overseas operations to pay ...

  • Private Equity A Trendsetter For Stocks

    http://www.investopedia.com/articles/07/private-equity.asp
    ... loans from friends and family or sometimes government grants are the typical funding
    sources available. ... and many others - began as venture-funded operations. ...

  • The Banking System: Commercial Banking - How Banks Make Money ...

    http://www.investopedia.com/university/banking-system/banking-system3.asp
    ... as it can be difficult to match them with appropriate funding sources. ... lending from
    other financial institutions, like captive auto financing operations run by ...

  • Hudson City Bancorp - The Bear Case

    http://stocks.investopedia.com/stock-analysis/2011/Hudson-City-Bancorp---The-Bear-Case-HCBK0415.aspx
    ... City Bancorp. The bank might see its funding costs rise, or in the most
    bearish case, find itself unable to fund its operations. ...

  • Investopedia's Forex Outlook For May 2012: European Economy ...

    http://www.investopedia.com/university/monthly-forex-report-may-2012/eurozone-economy.asp
    ... The ECB's three-year LTROs provided cheap funding to European banks, which ... Problems
    Remain Despite the success of these liquidity operations, some economists ...

  • Financial Statements: Long-Term Liabilities | Investopedia

    http://www.investopedia.com/university/financialstatements/financialstatements8.asp
    ... obligations created in the course of ordinary business operations, but they ... financing
    liabilities are triggered by a company's deliberate funding decisions and ...

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