Definitions for "Purchase Fund"
Keywords:  par, sinking, bullet, retire, below
A type of bond whose issuer may retire up to specified amounts of the issue in the open market if the price remains below a certain level.
Resembles a sinking fund except that money is used only to purchase bonds if they are selling below their par value.
A fund set up by a company to retire, through purchases in the market, a specified amount of its outstanding preferred shares or debt if purchases can be made at or below a stipulated price.