Glossary of loan Terms - e

A fund that contains assets whose use is restricted only to the income earned by these assets.
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The value of property in an organization greater than total debt held on it. Equity investments typically take the form of an owner's share in the business, and often, a share in the return, or profits. Equity investments carry greater risk than debt, but the potential for greater return should balance the risk.
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An ownership position in an organization or venture taken through an investment. Returns on the investment are dependent on the profitability of the organization or venture.
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