Net Revenue Pledge

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Dictionary Says

Definition of 'Net Revenue Pledge'

A provision in a municipal bond issue that requires the issuing municipality to use net revenues (revenues left after expenses) from the project being financed to pay first the debt service costs of the issue.
Investopedia Says

Investopedia explains 'Net Revenue Pledge'

Similar to other restrictive provisions contained in bond indentures, a net revenue pledge serves to make the bond issue less risky for bondholders. Since the pledge effectively forces the government to use revenue from its debt-financed projects to pay debt service costs first, bondholders enjoy a reduced risk of default.

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'Net Revenue Pledge'

  • Series 7 Study Guide - Portfolio Management - Revenue Bond ...

    http://www.investopedia.com/exam-guide/series-7/portfolio-management/revenue-bond-analysis.asp
    ... Net revenue pledge is a promise that net revenues, after expenses, will
    be used for payment of debt service. Look Out! Repayment ...

  • Series 6 Study Guide - Investment Securities - Municipal Bonds ...

    http://www.investopedia.com/exam-guide/finra-series-6/investment-securities/municipal-bonds.asp
    ... A net revenue pledge means that the revenues are allocated to operating and maintenance
    expenses first, and to the debt service (ie to the bondholders) next. ...

  • Municipal Bond Tips For The Series 7 Exam

    http://www.investopedia.com/articles/professionaleducation/07/Series_7_municipal.asp
    ... Net revenue pledge: Debt service is paid second from the net revenues.
    Operations and maintenance expenses take priority. Hint: These ...

  • Weis Markets Takes A Different Approach

    http://stocks.investopedia.com/stock-analysis/2011/Weis-Markets-Takes-A-Different-Approach-WMK-SWY-KR-WFM-SVU0721.aspx
    ... recently-announced price cuts come with the pledge to hold ... It has increased revenue
    steadily from 2006 through 2010 ... Net income has risen in the last two years. ...

  • Series 7 Study Guide - Municipal Securities - Long Term Munis ...

    http://www.investopedia.com/exam-guide/series-7/municipal-securities/long-term-munis.asp
    ... 6.6 Net Asset Value (NAV); 6.7 Dollar Cost Averaging; 6.8 Mutual Fund Management;
    6.9 Types of Mutual ... Revenue bonds are secured by the full pledge of specific ...

  • 13 Pre-Issue Corporate Bond Questions For Businesses

    http://www.investopedia.com/articles/bonds/09/corporate-bonds.asp
    ... periodically, setting out receipts, payments and net flows per ... is experiencing a
    lull in revenue because of a ... has already given a negative pledge to existing ...

  • CFA Level 1 Study Guide - Fixed Income Investments - Bondholder's ...

    http://www.investopedia.com/exam-guide/cfa-level-1/fixed-income-investments/bondholders-rights.asp
    ... 2.6 Net Present Value and the Internal Rate of Return; 2.7 Money Vs. ... of GDP and
    Alternative Measures; 4.5 Components of Marginal Product and Marginal Revenue; ...

  • CFA Level 1 Study Guide - Alternative Investments - Real Estate ...

    http://www.investopedia.com/exam-guide/cfa-level-1/alternative-investments/real-estate-investments.asp
    ... 2.6 Net Present Value and the Internal Rate of Return; 2.7 Money Vs. ... of GDP and
    Alternative Measures; 4.5 Components of Marginal Product and Marginal Revenue; ...

  • Series 7 Study Guide - Customer Accounts - Margin Accounts ...

    http://www.investopedia.com/exam-guide/series-7/customer-accounts/margin-account.asp
    ... 6.6 Net Asset Value (NAV); 6.7 Dollar Cost ... 12.16 Revenue Bond Analysis; 12.17 Sources
    of Information. Chapter ... means the broker-dealer can pledge those securities ...

  • Series 7 Study Guide - Customer Accounts - Margin Account ...

    http://www.investopedia.com/exam-guide/series-7/customer-accounts/hypothecation-margin-value.asp
    ... 6.6 Net Asset Value (NAV); 6.7 Dollar Cost Averaging; 6.8 ... 12.16 Revenue Bond Analysis;
    12.17 Sources of Information. Chapter ... The bank can require a pledge of up to ...

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