underwriting
underwrite (v)
- present
- underwrites
- past
- underwrote
- past participle
- underwritten
- present participle
- underwriting
underwriting (v)
English Definitions:
Underwriting
Underwriting refers to the process that a large financial service provider uses to assess the eligibility of a customer to receive their products. The name derives from the Lloyd's of London insurance market. Financial bankers, who would accept some of the risk on a given venture in exchange for a premium, would literally write their names under the risk information that was written on a Lloyd's slip created for this purpose.
Underwriting
Underwriting (UW) services are provided by some large financial institutions, such as banks, insurance companies and investment houses, whereby they guarantee payment in case of damage or financial loss and accept the financial risk for liability arising from such guarantee. An underwriting arrangement may be created in a number of situations including insurance, issues of security in a public offering, and bank lending, among others. The person or institution that agrees to sell a minimum number of securities of the company for commission is called the underwriter.
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"underwriting." Kamus.net. STANDS4 LLC, 2024. Web. 25 Apr. 2024. <https://www.kamus.net/english/underwriting>.
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