a fund accumulated out of a business enterprise's earnings or a government's revenue and invested to repay a long-term debt or meet a depreciation charge
sinking fund in American English
a fund made up of sums of money set aside at intervals, usually invested at interest, in order to meet a specified future obligation, as the retirement of bonds at maturity
sinking fund in Finance
(sɪŋkɪŋ fʌnd)
Word forms: (regular plural) sinking funds
noun
(Finance: Corporate)
A sinking fund is a fund where a company sets aside money for future repayment of bonds.
Cash flows received by the trust in excess of the sinking fund requirement are also allocated to other bond classes.
The remaining funds would be put into a sinking fund which constituted a trust fund.
A sinking fund is a fund where a company sets aside money for future repayment of bonds.