Beneficial Interest Definition & Meaning | Financial Term | CSIMarket
CSI Market
Sign In | Register

Glossary

Beneficial Interest

Financial Term

Beneficial interest refers to a financial or property interest that results in benefit or advantage to the holder or beneficiary of that interest. In the financial industry, beneficial interest can take many forms. For example, beneficiaries of trust funds have a beneficial interest in the trust, as do shareholders in a corporation. In the context of banking, account holders have beneficial interest in their accounts.

In the financial industry, the concept of beneficial interest is frequently used to determine the distribution of assets. Beneficial interest can be used to determine the rights of investors in different types of investment vehicles, such as mutual funds or exchange-traded funds. In asset management, determining the beneficial interest of various investors in a particular fund helps in deciding how the assets in the fund are to be distributed.

In mortgage financing, beneficial interest may refer to the right of a mortgage holder to receive payments or profit from the sale of a property. In case of a foreclosure, the beneficial interest of the mortgage holder enables them to take possession of the property and sell it to recover the owed amount.

In summary, beneficial interest is a legal term used to indicate a financial or property interest that provides a benefit or advantage to the holder. It plays a crucial role in various sectors of the financial industry, such as asset management, banking, and mortgage financing.


More Glossary Terms Beginning with B
  • Backlog
    Unfilled customer orders for products and product services Operating Statistics
    Manufacturing Term Letter: B
  • Balance of payments
    Record of transactions between U.S. residents and foreign residents during a given time period. Includes transactions in goods, services, income, assets, and liabilities. It is broken down into the current accounts (international), capital accounts (international), and financial accounts (international).
    Economy Term Letter: B
  • Balance on current account
    Current receipts from the rest of the world less current payments to the rest of the world, formerly called "net foreign investment." Current receipts equal exports of goods and services plus income receipts from the rest of the world; current payments are the sum of imports of goods and services, income payments to the rest of the world, and current taxes and transfer payments to the rest of the
    Economy Term Letter: B
  • Balance on goods and services
    Record of the difference between exports of goods and services and imports of goods and services. In the broad sense, this balance is conceptually equal to net exports of goods and services, which is a component of gross domestic product (GDP).
    Economy Term Letter: B
  • Balance Sheet
    A summary statement that reflects the companys assets, liabilities and equity at a particular point in time. Balance Sheet
    Financial Term Letter: B
  • Balloon Angioplasty
    also known as percutaneous transluminal coronary angioplasty (PTCA), is a nonsurgical method of clearing coronary and other arteries blocked by atherosclerotic plaque, fibrous and fatty deposits on the walls of arteries. A catheter with a balloon-like tip is threaded up from the arm or groin through the artery until it reaches the blocked area. The balloon is then inflated, flattening the plaque a
    Health Care Term Letter: B
  • Barrel
    Barrel, which is equal to 42 U.S. gallons and is a common measure of volume of crude oil and other liquid hydrocarbons.
    Energy Term Letter: B
  • Basic Cards-In-Force
    Proprietary basic consumer cards-in-force includes basic cards issued to the primary account owner and does not include additional supplemental cards issued on that account. Proprietary basic small business and corporate cards-in-force include basic and supplemental cards issued to employee cardmembers. Non-proprietary basic cards-in-force includes all cards that are issued and outstanding under n
    Financial Term Letter: B
  • Basic Net EPS
    The companys earnings divided by the average number of shares outstanding for the period. Statement of Income
    Financial Term Letter: B
  • Basis
    The difference between a reference or benchmark commodity price and the corresponding sales price at various regional sales points.
    Financial Term Letter: B
  • Basis Point
    One one-hundredth of a percentage point.
    Financial Term Letter: B
  • Basis-Only Swap
    A derivative that "swaps" the basis between two sales points from a floating price to a fixed price for a specified commodity volume over a specified time period. Typically used to fix the price relationship between a geographic sales point and a NYMEX reference price.
    Financial Term Letter: B