face-amount certificate company

Definition

An investment business that issues face amount certificates (FACs) which are based on real assets such as property or other securities. These certificates are debt securities that allow a company to obtain relatively low interest financing. Few investment companies exist that are still permitted to issue face-amount certificates. Those that do are 'grandfathered' in from the restrictions issued by the Investment Company Act of 1940, and are heavily regulated.
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face-amount certificate facilitation