SPV Dictionary

This Special Purpose Vehicle (SPV) Dictionary serves as a comprehensive resource for understanding the terminology associated with these financial instruments. SPVs, by their nature, can involve a complex interplay of legal, accounting, banking, tax, compliance, and administrative considerations. This dictionary aims to provide clear and concise definitions for the key terms encountered in the context of SPVs.

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Accredited Investor

An accredited investor is an individual or entity that meets specific financial criteria, enabling them to bear the economic risks associated with investing in unregistered

ACH

ACH refers to a network that facilitates electronic money transfers between financial institutions, such as banks and credit unions. In the context of Special Purpose

Acquisition

A corporate action in which one company purchases a majority or all of the ownership interests in another company to gain control of that company.

Administrative Manager

Administrative Manager is a person or entity designated to handle specific administrative tasks for a Special Purpose Vehicle (SPV), typically including duties such as setting

Administrator

A company or individual engaged by an SPV to perform designated back-office support functions for the entity.

Allocation

The portion of funds designated to a specific investor or Special Purpose Vehicle (SPV) for investment in a private asset. An allocation typically represents a

AML (Anti-Money Laundering)

A set of laws, regulations, and procedures aimed at preventing the generation of income through illegal activities. Financial institutions are required to implement policies and

Angel (Angel Investor)

An individual or entity that invests funds in early-stage startups or entrepreneurs, typically in exchange for equity ownership. Angel investors may invest independently or collectively

Arbitration

A method of resolving legal disputes outside of the court system, where an impartial third party, known as an arbitrator, reviews the case and makes

Arbitration Location

The designated place where arbitration proceedings will take place in the event of a dispute involving the SPV. The location must be within the United

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