Definitions for commercial paper
com·mer·cial pa·per

Princeton's WordNetRate this definition:0.0 / 0 votes

1. commercial papernoun

   an unsecured and unregistered short-term obligation issued by an institutional borrower to investors who have temporarily idle cash

WiktionaryRate this definition:0.0 / 0 votes

1. commercial papernoun

   A negotiable instrument with short maturity.

WikipediaRate this definition:0.0 / 0 votes

1. Commercial paper

   Commercial paper, in the global financial market, is an unsecured promissory note with a fixed maturity of rarely more than 270 days. In layperson terms, it is like an "IOU" but can be bought and sold because its buyers and sellers have some degree of confidence that it can be successfully redeemed later for cash, based on their assessment of the creditworthiness of the issuing company. Commercial paper is a money-market security issued by large corporations to obtain funds to meet short-term debt obligations (for example, payroll) and is backed only by an issuing bank or company promise to pay the face amount on the maturity date specified on the note. Since it is not backed by collateral, only firms with excellent credit ratings from a recognized credit rating agency will be able to sell their commercial paper at a reasonable price. Commercial paper is usually sold at a discount from face value and generally carries lower interest repayment rates than bonds due to the shorter maturities of commercial paper. Typically, the longer the maturity on a note, the higher the interest rate the issuing institution pays. Interest rates fluctuate with market conditions but are typically lower than banks' rates. Commercial paper, though a short-term obligation, is typically issued as part of a continuous rolling program, which is either a number of years long (in Europe) or open-ended (in the United States).

ChatGPTRate this definition:0.0 / 0 votes

1. commercial paper

   Commercial paper is a short-term, unsecured debt instrument issued by corporations to raise funds for business expenses such as payroll, inventories, or immediate cash needs. The maturity term typically ranges from a few days up to 270 days. It's commonly used in money market funds and is characterized by its low-risk and low-return nature. It's usually issued at a discount, reflecting prevailing market interest rates.

WikidataRate this definition:0.0 / 0 votes

1. Commercial paper

   In the global money market, commercial paper is an unsecured promissory note with a fixed maturity of no more than 270 days. Commercial paper is a money-market security issued by large corporations to get money to meet short term debt obligations, and is only backed by an issuing bank or corporation's promise to pay the face amount on the maturity date specified on the note. Since it is not backed by collateral, only firms with excellent credit ratings from a recognized rating agency will be able to sell their commercial paper at a reasonable price. Commercial paper is usually sold at a discount from face value, and carries higher interest repayment rates than bonds. Typically, the longer the maturity on a note, the higher the interest rate the issuing institution must pay. Interest rates fluctuate with market conditions, but are typically lower than banks' rates.

Matched Categories

1. • Cash Equivalent

How to pronounce commercial paper?

1. Alex

   US English

   David

   US English

   Mark

   US English

   Daniel

   British

   Libby

   British

   Mia

   British

   Karen

   Australian

   Hayley

   Australian

   Natasha

   Australian

   Veena

   Indian

   Priya

   Indian

   Neerja

   Indian

   Zira

   US English

   Oliver

   British

   Wendy

   British

   Fred

   US English

   Tessa

   South African

How to say commercial paper in sign language?

Numerology

1. Chaldean Numerology

   The numerical value of commercial paper in Chaldean Numerology is: 3

2. Pythagorean Numerology

   The numerical value of commercial paper in Pythagorean Numerology is: 4

Examples of commercial paper in a Sentence

1. The Fed in the morning:

   An improved commercial paper market will enhance the ability of businesses to maintain employment and investment as the nation deals with the coronavirus outbreak.

2. Michael Sweet:

   Bondholders should be realizing that in Chapter 9 cases those who will invariably get better treatment by the cities are former and current employers, who are part of the community, and not the faceless bankers holding commercial paper.

References

1. ^ Princeton's WordNet
   http://wordnetweb.princeton.edu/perl/webwn?s=commercial paper
2. ^ Wiktionary
   https://en.wiktionary.org/wiki/Commercial_Paper
3. ^ Wikipedia
   https://en.wikipedia.org/wiki/Commercial_Paper
4. ^ ChatGPT
   https://chat.openai.com
5. ^ Wikidata
   https://www.wikidata.org/w/index.php?search=commercial paper