Term out: Difference between revisions

From ACT Wiki
Jump to navigationJump to search
imported>Doug Williamson
(Added link)
imported>Doug Williamson
(Classify page.)
Line 1: Line 1:
''Funding''
''Funding''.


To 'term out' liabilities - or funding - means replacing shorter term liabilities with longer term ones.
To 'term out' liabilities - or funding - means replacing shorter term liabilities with longer term ones.
Line 11: Line 11:
== See also ==
== See also ==
* [[Funding]]
* [[Funding]]
* [[Liquidity]]
* [[Longer term]]
* [[Longer term]]
* [[Short term]]
* [[Short term]]
* [[Stability]]
* [[Stability]]
[[Category:The_business_context]]
[[Category:Identify_and_assess_risks]]
[[Category:Manage_risks]]
[[Category:Risk_frameworks]]
[[Category:Financial_products_and_markets]]

Revision as of 10:10, 17 April 2022

Funding.

To 'term out' liabilities - or funding - means replacing shorter term liabilities with longer term ones.


In the funding context, this will generally improve the stability of funding.

However, it is normally more expensive, because longer term funding is generally more costly than short term funding.


See also