Commercial paper

(redirected from Discharge from Liability)
Also found in: Dictionary, Thesaurus, Legal, Encyclopedia.

Commercial paper

Short-term promissory notes either unsecured or backed by assets such as loans or mortgages issued by a corporation. The maturity of commercial paper is typically less than 270 days; the most common maturity range is 30 to 50 days or less.

Commercial Paper

An unsecured, short-term debt security issued by a corporation. Commercial paper is usually issued at a discount from par, and is a popular investment with mutual funds. It usually is issued in large denominations (over $250,000) and has a maturity of less than 270 days, with most maturing within one or two months of issue. It is a highly liquid investment and forms part of the money market. It is often simply called paper.

commercial paper

A short-term unsecured promissory note issued by a finance company or a relatively large industrial firm. The notes are generally sold at a discount from face value with maturities ranging from 30 to 270 days. Although the large denominations ($25,000 minimum) of these notes usually keep individual investors out of this market, the notes are popular investments for money market mutual funds. Used interchangeably with the term paper. See also prime paper.

Commercial paper.

To help meet their immediate needs for cash, banks and corporations sometimes issue unsecured, short-term debt instruments known as commercial paper.

Commercial paper usually matures within a year and is an important part of what's known as the money market.

It can be a good place for investors -- institutional investors in particular -- to put their cash temporarily. That's because these investments are liquid and essentially risk-free, since they are typically issued by profitable, long-established, and highly regarded corporations.

References in periodicals archive ?
The AGM resolved to discharge from liability for the board of directors and the present CEO Stefan Kercza.
STOCKHOLM, Sweden -- Annual Report and discharge from liability The company's Income Statement and Balance Sheet were adopted and the Board of Directors and the Chief Executive Officer were discharged from liability for the financial year 2009.
ST) announced on Wednesday that at the Annual General Meeting of the company, held on 6 May 2014, the meeting voted to approve adoption of the annual report, discharge from liability for the board members and the managing director, a payment of a dividend of SEK7.
The shareholders adopted the financial statements for the year 2009 and granted discharge from liability to the members of the management and supervisory board in relation to the performance of their duties during 2009.
The AGM decided upon discharge from liability of the board and the CEO.
The company said that the meeting confirmed the 2009 financial statements and granted discharge from liability to the board of directors and the CEO for the 2009 financial year.
Discharge from liability in Carnegie Investment Bank AB