Liquidity gate and Special Purpose Entity: Difference between pages

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''Money market funds.''
(SPE).  


A closed period which can be imposed by the board of a money market fund under times of market stress, in order to reduce the risk of a run on the fund.
A legal entity established to facilitate restricted transactions or purposes for a particular sponsor or sponsors, often characterised by severely limited independence of decision making and a relatively small capital base.


No redemptions would be allowed during the period of the liquidity gate.


 
An SPE used for a securitisation is known as a securitisation special purpose entity (SSPE).
Also known as a ''redemption gate.''




== See also ==
== See also ==
* [[Liquidity ]]
* [[Conduit]]
* [[Liquidity buffer]]
* [[Securitisation]]
* [[Liquidity fee]]
* [[Special purpose vehicle]]
* [[Money market fund]]
* [[Sponsor]]
* [[Redemption]]
* [[SSPE]]
* [[Run]]
* [[Stress]]
* [[Variable net asset value]]


[[Category:The_business_context]]
[[Category:Compliance_and_audit]]
[[Category:Investment]]
[[Category:Identify_and_assess_risks]]
[[Category:Manage_risks]]
[[Category:Cash_management]]
[[Category:Financial_products_and_markets]]
[[Category:Liquidity_management]]

Revision as of 15:36, 31 October 2016

(SPE).

A legal entity established to facilitate restricted transactions or purposes for a particular sponsor or sponsors, often characterised by severely limited independence of decision making and a relatively small capital base.


An SPE used for a securitisation is known as a securitisation special purpose entity (SSPE).


See also