Ring fence

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1.

To legally separate particular assets or liabilities within a company or other organisation.

For example, to shield particular assets from the claims of the creditors of the non-ring fenced part of the entity.


In the banking context, a 'ring fence' is the separation of some aspects of commercial banking (mostly retail) into a separate entity to reduce the probability of failure.


2.

The legal barrier created for this purpose.


Sometimes written "ringfence".


See also


Other links

Electric shock, The Treasurer, May 2013