Definitions for "Advance rate"
The maximum amount of advances that will be made to a company, as a percentage of the value of some collateral.
in a market value CDO, a weighting applied to the market value of the collateral to reflect the liquidity of each asset. An advance rate of 100% would be applied to the most liquid asset. An advance rate of 0% would mean the asset receives no credit in calculating the CDO's OC test. The term "discount rate" is also used to refer to the same concept
The percentage of funds extended to a client against eligible collateral as stated in a lending contract. Example: A client with a contractual advance rate of 80% assigns as collateral invoices totaling $100,000. The client receives a loan of $80,000 at once, and upon collection of the invoices, receives the balance of $20,000, on a day-to-day basis as collections are received, less any dilution.
Speed of advance of a pipe jack or other trenchless installation through the ground, generally expressed as either millimetres per minute or metres per day.