from The American Heritage® Dictionary of the English Language, 5th Edition.
- noun A portion of a total, especially of a block of assets such as cash or securities.
- noun A cut or slice of meat.
from Wiktionary, Creative Commons Attribution/Share-Alike License.
- noun A
slice, sectionor portion.
- noun finance One of a set of classes or risk maturities which comprise a multiple-class security, such as a
CMOor REMIC; a class of bonds; collateralized mortgage obligations are structured with several tranches of bonds that have various maturities.
from WordNet 3.0 Copyright 2006 by Princeton University. All rights reserved.
- noun a portion of something (especially money)
from The American Heritage® Dictionary of the English Language, 4th Edition
from Wiktionary, Creative Commons Attribution/Share-Alike License
Mr. Poetsch confirmed that Porsche plans a capital increase of up to € 5 billion in the first half of 2011, mainly to repay a € 2.5 billion credit tranche from a syndicated loan, which is due June 30, 2011.
The equity tranche is supposed to be very high risk and carries commensurate high yields.
The more-conservative investors, insurance companies, chose the longest-term tranche; money managers settled in the middle.
When the rate changes or the principle changes or the homeowner defaults, the tranche is removed from the bond, thus lowering it’s value.
I use the word tranche all the time :-) In fact, last week I was and still am) extremely worried about certain tranches.
The prices were slightly lower than the initial guidance on the senior unsecured bonds, which had been two percentage points on the shorter-term tranche and 2.15 percentage points on the longer-term tranche.
The offshore-yuan tranche, with a three-year-maturity, is likely to be around 2.25 billion yuan in size and the dollar tranche, which is expected to mature in five years, should be around $150 million.
And I hope that the next TARP tranche, that is, the next bailout of Wall Street that is coming, actually has very, very clear limitations on executive salaries if not a claw-back on the bonuses that have already been paid.
A tranche is a specific class of bonds within an offering wherein each tranche offers varying degrees of risk to the investor.
Already, over 100 beds have been released as a result of the first tranche, which is an additional £4 million in funding.