A bond issued by a financial institution but repaid by the entity benefiting from the financing generated by the issuance of the bond. For example, a business might be the borrower using the bonds to raise capital for a real estate development project. The financial institution would simply act as the conduit in the transaction between the company and the bondholders. The institution would handle administrative activities such as revenue distribution and would bear no responsibility for repayment if the borrower defaulted.
Related information about conduit bond:
- conduit bond - Municipal Securities Rulemaking Board::EMMA
[Close]. What is a conduit bond? In some cases, a governmental entity issues municipal bonds for the purpose of making proceeds available to a private entity in ...
- Conduit Issuer Definition | Investopedia
An organization, usually a government agency, that issues municipal securities to raise capital for revenue-generating projects where the funds generated are ...
- 'Conduit' bonds: Default rate of 'conduit' municipal bonds raising ...
Jun 14, 2011 ... Over the last two years, the five municipal bond issuers with the most troubled bonds have all been conduit bond issuers, according to ...
- Publication 5005 (Rev. 4-2012) - Internal Revenue Service
A conduit issuer in a conduit bond financing typically issues the bonds and loans the ... conduit bond issue and is usually contractually obligated to maintain the ...
- Conduit Bond Issuers - California State Auditor - State of California
Aug 23, 2012 ... 5. Chapter 1. The Practices of Some Conduit Bond Issuers Raise Concerns ... The Conduit Bond Issuers Met Bond Issuance Requirements and ...
- CDFA - CDFA Spotlight: Default Risk of Conduit Bonds
What Happens When a Conduit Bond Defaults? ... Although conduit bond default rates are relatively low, an issuer should recognize that when you issue ...
- Part 4: Conduit bond defaults have officials talking regulation ...
Dec 22, 2010 ... Last of four parts: Retired Florida optometrist Bernard Miskiv thought he had a good opportunity when he bought bonds issued by the Tarrant ...
- Yankee Stadium's conduit-bond boondoggle | Felix Salmon
Jun 16, 2011 ... Is there something fishy about the bonds used to finance the parking lots at Yankee Stadium? Of course there is.