Glossary
Is typically a loan drawn in a lump sum on the date the credit agreement is signed (or shortly thereafter) and repaid in regular installments pursuant to a schedule set forth in the credit agreement or in full on the maturity date. Once a term loan is drawn, the borrower may not make any further borrowings under the loan even if it has made payments towards the loan balance. Interest will be payable on the amount drawn either on a periodic basis or at maturity.
Refers to the totality of a foundation's assets and the portion that, to avoid excise tax, must be paid out in program expenditures (and administration in support of such)—the 5% payout; and the 95% that is typically referred to as the endowment, and is traditionally invested primarily for financial gain and preservation of the foundation's corpus or whole.
The Internal Revenue Code of 1986, as amended.
Ratio of pretax income or change in unrestricted net assets plus interest expense to interest expense. This ratio measures how many times interest expense is covered by operating earnings.
In the collateralized loan context, tranche relates to the slices of investments or different forms of capital that make up the larger pool of investments.
Comparisons of financial statements covering different sequential time periods in order to identify financial trends.
Financial, social and environmental returns.
A promise to give that depends only on passage of time or demand by the promise for performance.
Income received by an organization for which no service or good is given. Normally this refers to charitable donations made by foundations, government, corporations, or individuals.
The public recording of the security interest held by the lender in association with a debt obligation. The UCC filing helps to secure the loan and establish the payment priority of the creditor, as well as specify the collateral.
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