Revolving Underwriting Facility - RUF

AAA

DEFINITION of 'Revolving Underwriting Facility - RUF'

A form of revolving credit in which a group of underwriters agrees to provide loans in the event that a borrower is unable to sell in the Eurocurrency market. These loans are generally provided through the purchase of short-term Euronotes.

INVESTOPEDIA EXPLAINS 'Revolving Underwriting Facility - RUF'

A revolving underwriting facility differs from a note issuance facility (NIF) in that the underwriters provide loans instead of purchasing the outstanding notes that failed to sell. In either case, both RUF and NIF provide short- to medium-term credit in the Eurocurrency market.

RELATED TERMS
  1. Tender Panel

    A method of financing pursuant to the sale of Euro notes through ...
  2. Prime Underwriting Facility

    A kind of revolving underwriting facility. Prime underwriting ...
  3. Eurocurrency

    Currency deposited by national governments or corporations in ...
  4. Underwriting

    1. The process by which investment bankers raise investment capital ...
  5. Note Issuance Facility - NIF

    A syndicate of commercial banks that have agreed to purchase ...
  6. Note

    A financial security that generally has a longer term than a ...
Related Articles
  1. Will Corporate Debt Drag Your Stock ...
    Investing Basics

    Will Corporate Debt Drag Your Stock ...

  2. A Primer On The Forex Market
    Options & Futures

    A Primer On The Forex Market

  3. The Money Market
    Retirement

    The Money Market

  4. What You Need To Know About Preferred ...
    Trading Strategies

    What You Need To Know About Preferred ...

comments powered by Disqus
Hot Definitions
  1. Letter Of Credit

    A letter from a bank guaranteeing that a buyer's payment to a seller will be received on time and for the correct amount. ...
  2. Due Diligence - DD

    1. An investigation or audit of a potential investment. Due diligence serves to confirm all material facts in regards to ...
  3. Certificate Of Deposit - CD

    A savings certificate entitling the bearer to receive interest. A CD bears a maturity date, a specified fixed interest rate ...
  4. Days Sales Of Inventory - DSI

    A financial measure of a company's performance that gives investors an idea of how long it takes a company to turn its inventory ...
  5. Accounts Payable - AP

    An accounting entry that represents an entity's obligation to pay off a short-term debt to its creditors. The accounts payable ...
  6. Ratio Analysis

    Quantitative analysis of information contained in a company’s financial statements. Ratio analysis is based on line items ...
Trading Center