syndicate

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Syndicate

A group of banks that acts jointly, on a temporary basis, to loan money in a bank credit (syndicated credit) or to underwrite a new issue of bonds.

Syndicate

1. In banking, a group of banks that each lend an amount of money to a borrower, all at the same time and for the same purpose. The banks in a syndicate cooperate with each other for the duration of the project, even if they are otherwise competitors. Bank syndicates usually only lend large amounts of money. Every syndicate is a temporary arrangement.

2. In investment banking, a group of underwriters responsible for placing a new issue of a security with investors. As with banking syndicates, the members of an underwriting syndicate work together for the duration of the project. Every syndicate is a temporary arrangement. It is also called a purchase group or a selling syndicate.

syndicate

A combination of investment banking firms that bids on a new security issue and then sells it if the bid is successful. The syndicate disbands when the security offering has been completed. Syndicates are needed to spread the risk and obtain greater financial and marketing resources for large issues. Also called purchase group, underwriting syndicate. See also agreement among underwriters, breaking the syndicate, selling group.

syndicate

To distribute shares of ownership in a partnership or joint venture. For example, a brokerage firm may syndicate ownership in certain oil and gas properties.

Syndicate.

When a group of investment banks works together to underwrite and distribute a new security issue, they are acting as a syndicate.

Syndicates are temporary, forming to purchase the securities from the issuer and dissolving once the issue is distributed.

However, new syndicates, involving some of or all the same banks, form on a regular basis to underwrite each new issue. You may also hear these underwriting syndicates called purchase groups, underwriting groups, or distributing syndicates.

In other financial contexts, syndicate may refer to any group of financial institutions that works together on a particular project. Syndicate also describes a group of investors who make a joint investment in a company.

syndicate

A method of selling real property in which a sponsor—the syndicator—sells interests to investors. At one time limited partnerships were the preferred vehicle.Today tenant-in-common properties (TICs) are extremely popular.

References in periodicals archive ?
Comprised of more than 750 professionals, the capital markets group provides sophisticated financial services such as loan syndications, merger and acquisition advisory, structured finance, asset-based finance, asset securitization, private placements, derivatives, mezzanine and equity capital, leasing, foreign exchange, public finance, municipal securities underwriting and a full range of investment products.
66, all fees charged by syndicators should be included in determining sales value, except fees for which future services must be performed (which should be recognized at the time they're performed) and syndication fees.
If so, they should defer income recognition on syndication fees and fees for future services until the losses or costs can be estimated reasonably.
In determining whether buyers' initial and continuing investments satisfy the requirements for full profit recognition, cash received by syndicators should be allocated to unpaid syndication fees before being allocated to initial and continuing investment.
78-9, Accounting for Investments in Real Estate Ventures, to exempt syndicators that receive or retain partnership interests in a syndication transaction.
Before this, Tony worked at CSFB for nearly three years where he was responsible for primary and secondary loan syndication in Europe, the Middle East and Africa, having previously spent 15 years in a variety of positions in debt capital markets at Bank of America International Limited (BAIL).
It provides capabilities in project finance, securitization, syndications, derivatives, foreign exchange, fixed income, and ABS origination and distribution, as well as comprehensive advisory services and capital market solutions.
and Latin American Finance veteran with over 19 years experience in the financial services industry, including nearly 15 years in energy investment banking and syndication positions at Barclays Capital and Chase.
Taking the IntraLoan service to a new level, IntraAgency moves beyond the syndication function and fulfills the financial community's need for post-closing documentation and compliance requirements found in the loan syndication environment.
IntraLinks is excited to offer a vertically-integrated service for loan syndication.